Saturday, June 24, 2006

Climate Change: making your money talk - painlessly

Something further to add to the "things to do" list for global warming: put your superannuation in an ethical investment fund.

Sometimes called "socially responsible investment", this refers to funds and/or fund management that use specific social criteria for funds/superannuation investment.

Choosing how your own money is invested can make a significant difference. And various surveys I've read have shown that ethical investment funds frequently do better, and mostly do as well as, non-ethical funds.

Myself, I've been with Australian Ethical Investments for about ten years now, and have no complaints at all. But there are plenty of others to choose from. They have various investment criteria, and fund structures (eg large vs small company investment, and Australian vs Global) tend to mirror non-ethical funds. I would be surprised if any ethical fund doesn't include global warming on its criteria, but it's not hard to check.

The link to the Wikipedia article at the top lists a number of such funds around the world. In Australia, there is also an Ethical Investment Association, and a web site called Ethical Investor. Any more useful hints on this burgeoning market, I'll post here.

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