A Growing Trend in Australia
Australians are increasingly interested in aligning their investments with their values, according to a recent survey by the Responsible Investment Association of Australasia (RIAA).
The survey found that 88% of Australians want their money to be invested ethically, up from 83% in 2002. This growing interest is driven by a desire to invest in companies that are making a positive impact on the world, while also achieving strong financial returns.
What is Ethical Investing?
Ethical investing, also known as responsible investing, goes beyond simply excluding certain industries or companies. It involves actively investing in companies that are making a positive contribution to society and the environment.
This can include investments in renewable energy, sustainable agriculture, and companies that are committed to human rights and environmental protection.
The Growth of Ethical Investing
Increased awareness of the impact of investments: Investors are becoming more aware of the social and environmental impact of their investments.
Ethical investments have been shown to perform comparably to or better than traditional investments over the long term.
Younger generations are particularly interested in ethical investing, with many saying they would consider moving their super fund or bank if they found out that their investments were not aligned with their values.
How to Get Started with Ethical Investing
Choose an ethical super fund: Many super funds offer ethical investment options.
You can research individual companies to find those that are aligned with your values.
An ethical investment advisor can help you create a portfolio that meets your financial and ethical goals.
Resources for Ethical Investing
The Responsible Investment Association of Australasia (RIAA): The RIAA website provides information on ethical investing, including a free online tool that can help you match your values to investment products.
The Moneysmart website has links to free financial information, including information on ethical investing.
Conclusion
Ethical investing is a growing trend in Australia, driven by a desire to invest in companies that are making a positive impact on the world. There are a number of ways to get started with ethical investing, and a number of resources available to help you learn more.