this statement isn't exactly right either, as some ethical funds invest in big oil companies such as BP… oil companies that have a negative effect
Climate change No pollution products Human Rights No tobacco products … money goes to Israel … or Egypt were there is no democracy and no human rights
Any company or organization can take a small percentage of their profits and give it to worthy causes. Most companies can manage to win an award or two from some organization. These things are important, but they pale in comparison to the effects that the products/services have on the thousands or millions of customers. Some companies do beneficial things with their profits. But if they make these profits by selling products which cause illness/disease, environmental damage, or other suffering, they are clearly unethical investments. sometimes discover that their these funds have been invested in companies that cause widespread harm to people or to the environment
ETHICAL INVESTMENT By: Mohamed Hamdy
Agenda What is the ethical investment Why ethical investment Steps to invest ethically Ethical Investment in Egypt Ethical investment tips
What is the ethical investmentIt’s a type of investment which describes an investment strategy which seeks to maximize both financial return and social good.
What is the ethical investment Ethical investment funds tend to take one of two approaches: First approach Funds that avoid stocks that have a negative impact on the environment and its people - they tend to screen out companies involved in contentious sectors such as tobacco, oil and alcohol. Second approach Funds that target companies that are actively making a positive contribution to the environment and its people - such as designing green transport or developing processes that minimize pollution.
Why the ethical investment Public awareness of issues such as climate change and human rights has led to a demand for ethical investment funds.
Steps needed to invest ethically Avoiding Unethical Investments Avoid Causing Illness, Disease & Death Avoid Destroying or Damaging the EnvironmentWhen judging a company/organization, focus primarily on its products and/or servicesWhen gathering information about investment opportunities, ask for written details as to where the money is going.
Steps needed to invest ethically Choosing Positive Ethical Investments Keep focused primarily on the effects of the companys products and services Make a list of other positive benefits that you would like to see your money support.
Steps needed to invest ethically It will give you a great feeling to know that your money is being invested in an ethical way that benefits society!
Ethical investment in Egypt Ethical investors looking to put money into emerging market economies should avoid China, Egypt and Vietnam, the Ethical Investment Research Service (Eiris) has claimed. Research by the group found these three countries to be the worst performers in terms of Environmental, Social, and Governance indicators.
Ethical investment tips1. Consider what you mean by ethical2. Do you research3. Consider your attitude to risk4. Be prepared for smaller returns5. Remember performance does matter