With the rise in awareness about environmental and social issues, more and more investors are seeking to align their values with their investment choices. Ethical investment funds, also known as socially responsible investment funds, are a way for individuals to invest in companies that not only provide financial returns but also make a positive impact on the world. These funds typically screen companies based on their environmental, social, and governance (ESG) criteria. In this article, we will discuss some of the best ethical investment funds available for socially responsible investors.
1. Kames Ethical Equity Fund
The Kames Ethical Equity Fund is an actively managed fund that invests in UK equities with a focus on companies that demonstrate strong ESG practices. The fund is managed by a team of experienced fund managers who conduct thorough research to identify companies that meet their ethical criteria. The fund has a proven track record of delivering competitive returns while investing in companies that are leaders in sustainability and responsible business practices.
2. Parnassus Core Equity Fund
The Parnassus Core Equity Fund is a US-based fund that focuses on companies with strong ESG profiles and positive social impact. The fund has a long history of outperforming its benchmark index while investing in companies that prioritize sustainability and ethical business practices. The fund’s portfolio includes companies from various sectors that are considered industry leaders in responsible business practices.
3. Impax Environmental Markets PLC
The Impax Environmental Markets PLC is a London-listed investment trust that focuses on companies that provide solutions to environmental challenges. The trust invests in companies that are expected to benefit from the transition to a more sustainable economy, such as renewable energy, energy efficiency, and water treatment companies. The trust has a diversified portfolio of global companies that are positioned to capitalize on the growing demand for sustainable solutions.
4. Calvert Equity Fund
The Calvert Equity Fund is a socially responsible mutual fund that invests in US-based companies with strong ESG practices. The fund follows a rigorous screening process to identify companies that are leaders in sustainability and responsible business practices. The fund’s portfolio is diversified across various sectors and includes companies that are committed to environmental stewardship, social responsibility, and good governance.
5. Triodos Sustainable Equity Fund
The Triodos Sustainable Equity Fund is a European-based fund that invests in companies with a positive impact on society and the environment. The fund focuses on companies that operate in a sustainable and responsible manner, with a preference for those that promote social inclusion, environmental protection, and economic development. The fund has a long-term investment philosophy and aims to generate competitive returns while making a positive impact on the world.
6. Green Century Balanced Fund
The Green Century Balanced Fund is a socially responsible mutual fund that invests in a combination of US stocks and bonds with a focus on environmental and social responsibility. The fund follows a strict screening process to identify companies that are leaders in sustainability and responsible business practices. The fund’s portfolio includes companies from various sectors that prioritize environmental stewardship, social justice, and good governance.
7. Aberdeen Standard Sustainable World Fund
The Aberdeen Standard Sustainable World Fund is a global equity fund that invests in companies with strong ESG profiles and positive social impact. The fund’s portfolio includes companies from around the world that are considered industry leaders in sustainable business practices. The fund aims to deliver competitive returns while investing in companies that are committed to environmental sustainability, social responsibility, and good governance.
In conclusion, ethical investment funds provide socially responsible investors with an opportunity to align their values with their investment choices. These funds offer a way to invest in companies that not only provide financial returns but also make a positive impact on the world. By investing in the best ethical investment funds, investors can support sustainable and responsible businesses while generating competitive returns for their portfolios.