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Ethical Investment


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Ethical investment seeks to invest in companies that make a positive contribution to the world and seeks to avoid companies which harm the world, its people or its wildlife.

It's difficult for an individual investor to judge whether a particular company is ethical or not. Therefore, most ethical investments are held through a managed investment fund such as a unit trust or life insurance or pension fund.

Most UK ethical funds are based on a combination of positive and negative investment criteria. Some emphasise the former, while others concentrate on the latter, and some try to strike a balance between the two.

See also guide to ethical investment and Ethical Investment Research Services (EIRIS)

Last Updated: June 2007 © Moneyextra.com

 

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