74 What Is Ethical Investing? Your Guide to What It Is, How It Works and How To Get Started copertina

74 What Is Ethical Investing? Your Guide to What It Is, How It Works and How To Get Started

74 What Is Ethical Investing? Your Guide to What It Is, How It Works and How To Get Started

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What is ethical investing? In a nutshell it means choosing investments based on your personal values and principles, not just the numbers. In practice, that usually works two ways: steering clear of companies involved in things like tobacco, weapons or gambling, and actively choosing to put money into companies doing something you'd stand behind, like renewable energy or healthcare. The goal is to have your money reflect what you actually care about, while still aiming for a solid financial return. In this episode, I'm joined by Leah Willis, Head of Distribution at Australian Ethical. Australian Ethical are a fund manager that's been running ethical investments since 1986, and Leah takes us inside the process: how a universe of investable companies gets screened down, what gets excluded and why, and what's actively chosen instead. Ethical investing in Australia now sits at roughly $1.6 trillion, so if you are interested in looking at how you can invest your money so it is not doing harm this episode will provide you all the information you need to better understand it. In this episode:
  • What ethical investing actually means
  • How Australian Ethical builds its investment universe
  • The two-step process: the ethical screen, then the financial screen
  • Real case studies:
    • Mining
    • Alcohol, tobacco and gambling
    • Animal Cruelty
    • AI
I get a lot of questions about ethical investing so this is a great episode if you are looking to learn more about it. If you would like to learn more about Australian Ethical you can find more information here: https://www.australianethical.com.au/ This episode contains general information only and does not take into account your personal objectives, financial situation or needs. It is not financial product advice, and nothing discussed should be taken as a recommendation to invest in any particular product, including any Australian Ethical fund. Before acting on anything discussed, consider whether it's appropriate for your circumstances and seek advice from a qualified professional. Naomi Holmes and Her Money Matters are licensed by Alethea Partners Pty Ltd, Australian Financial Services Licence 557729. This episode is not sponsored — Leah Willis appears as a guest expert and discusses her employer's process and products because it's her area of expertise; this affiliation is disclosed here in the interest of transparency. Past performance is not a reliable indicator of future performance. Performance figures discussed are sourced from Australian Ethical's own published fund commentary.
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