Can you bank on a financial institution’s ethical or sustainable policy?
Many companies have latched onto the appeal of words like ‘ethical’ and ‘green’. But what do ethical or sustainable banks do differently?
A bank says it’s ethical or sustainable – what's your immediate reaction? Do you roll your eyes assuming it’s jumping on the green bandwagon or do you think it is genuinely trying to do something different? In the wake of the credit crunch several of the banks and building societies with green or ethical credentials saw a sharp increase in the number of customers. But how do you know they really are different?
Over 30% of people are thinking of investing ethically in the next five years; what does it involve?
Over £7 billion is invested in green or ethical funds, but that still means only 8% of people invest ethically. If you've considered it but don't know where to start, here's a beginner’s guide.
The credit crunch, climate change and an increasing desire among many consumers to ‘look behind the label’ means more of us are thinking about investing ethically. Research by carried out by YouGov for National Ethical Investment Week, a campaign to raise awareness of ethical investing, found that 31% will consider ethical investing in the next five years and 44% would consider it if the benefits were spelled out more clearly. While some people don’t want to mix profit with principles, others like the idea but just don’t know where to start. If that’s you, read on.
If you’re concerned about what your bank does with your money, you might want to consider an ethical account
Since the credit crunch, providers of ethical savings accounts have seen a sharp increase in customers. But are these accounts competitive?
The last couple of years have made a lot of us think about what financial companies do with our money. You may not mind who your bank or building society lends your money to as long as they generate a good rate of return. But you might not want money in your savings account to fund tobacco companies, companies that support oppressive regimes or those that have a bad record on polluting the environment. Generally, ethical providers don’t pay the highest rates, so you’ll have to decide whether the trade-off is worth it.
