Ethical, or socially responsible, investment allows individuals, companies and charities to choose investments that reflect their beliefs and principles.

Even if a person does not own shares, they may still hold investments in the stock market. Schemes such as endowment mortgages and pensions can often be based on monetary funds which are invested in shares. These schemes often take little account of the investor’s moral and ethical values, as their primary concern is financial gain.

The first ethical trust in the UK was launched in 1984 in order to provide alternative investment funds for those people who are concerned over the activities of the companies in which their money may otherwise be invested. There are now over 40 ethical funds to choose from.

Positive criteria, for companies in which an ethical fund manager will actively seek to invest, include:

	Environmental protection
	Energy conservation and recycling
	Control over pollution
	Ethical employment practices
	Safety and security

Negative criteria, for companies in which an ethical fund will avoid an investment, include:

	Oppressive regimes
	Poor employment practices
	Pornography
	Gambling
	Tobacco promotion
	The arms trade
	Exploitation of the third world
	Damage to the environment

Here are some links to investment firms that serve ethical investors: