Frequently Asked Questions

FAQs (FREQUENTLY ASKED QUESTIONS)

“How can I actually use ethical funds”
Good question.   Although you can have unit trusts, ISAs, investment bonds, pensions, share portfolios – even some life assurances – invested in ethical funds, you should not look at these products in isolation.  

You need to work out what your priorities are in life and how you need to arrange your finances to support your goals.  This is all part of the advice process and sitting down with one of our advisers is the best way to find your financial pathway.  

Whether you sit down in your home, your workplace or ‘virtually’ in front of your webcam and computer, we’ll be glad to help you to see the way you want your life to go and what products fit in.  Then we look at your values to determine which funds would best suit your outlook.  Whether you have a lump sum or need to build your wealth from income, we can help.


“How do fund managers deal with ethical criteria?”
They are usually guided by the Ethical Research Investment Service (EIRIS), who research companies and their activities, screening them against the criteria of the fund managers concerned.  Most managers will do this via software provided by EIRIS, but the more thorough ones will have their own analysts, so that the process is not too ‘black and white’.  Proactive funds, in particular tend to rely on their own in-house analysts, who tend to have a campaigning - rather than corporate - ethos.

 
“What are the different types of ethical funds?”
Due to an accident of history, the terms ‘Dark Green’ (for the stricter funds) and ‘Light Green’ (for the less strict funds) have been used.  In fact, there is now a good deal more sophistication in the sector and we have produced a re-classification report on this.  (Click here for the article:  “Types of Ethical Funds”)

 
“What more information can you give me about the performance?”
( Click here for the pdf on ‘The Ethical Advantage’)


Can you give me some examples of the sort of companies ethical funds invest in?”
(Click here for list of typical “Ethical Companies”)


“How can I learn about ISAs, Unit Trusts, OEICs, Pensions are?”
(Click here for ‘Financial Guides’.)

 
“Can I use these with an ethical investment?”
If there is an investment element, such as pensions, ISAs, unit trusts, investment bonds, or some types of life assurance, you can.  However, term assurances and income protection plans have no investment element – although you may well need them - so it is not relevant.   

 
“Can I ‘green’ my existing investments?”
Quite probably – although care needs to be taken, so that you do not incur capital gains tax in the process.   Some of the providers you are already with may have perfectly good ethical fund into which you can switch.   If you have a share portfolio, we can move them seamlessly to a stockbroker with an ethical screening team.  PEPs and ISAs do not have this difficulty.  Unit trusts can be more uncertain and you will, again, need to take advice from us.
 
You are in the business of ‘selling’ ethical investments;  can I get an objective assessment of the field?
Of course.  We have posted the IMA “Guide to Ethical Investment” on the site.  We have some reservation about the broad-brush way they compare ethical funds with ordinary ones – we prefer the head-to-head style set out in our ‘Ethical Advantage’ paper – but it gives a good summary of the ethical field from a neutral standpoint.  IMA is the Investment Managers Association, which represents UK Fund Managers.  Click here to access the Guide.


“Can I get advice from you in my area?”
We have advisers all over the South of England.  As well as five advisers working from our head office in Salisbury, we have full-time advisers in London (3 of them), Brighton, Exeter and Totnes and Bristol.   And in these days of hi-tech, if you are further North, we can work by letter, telephone and email.  Or – if you have the computer equipment – via webcam!  So geography matters less than it did.

And by the way, if you know of a good financial adviser – with a sound values system – who might like to work with us, let them know of the ‘Jobs’ button on the left.  We would like to expand our service in the North, Midlands and Scotland.  But if the person is right, the area doesn’t much matter.   
 

Does it all make a difference?
This information is covered in our 28-page e-book "7 Things you should know about ethical investment" in Chapter 4.  Click here for your FREE copy

“What is the future for ethical and environmental investment?”
One day, all investment will be ethical.  Since ethical investment began in 1984 so many more companies have embraced social and environmental responsibility.   It is a trend set to both continue and accelerate.  This has both increased the number of company shares ethical funds can invest in – and helped Build a Better World in the process.
 

More questions?
Email us on This e-mail address is being protected from spam bots, you need JavaScript enabled to view it .  We will be happy to address any other points you may like to raise.