Pension and investment provider Clerical Medical has announced that it is widening the scope of its ethical investment and pension fund to include global companies in addition to those in the UK and Europe.
Previously, the ethical investment
option of Clerical Medical's fund included investing in primarily British and European companies that have socially responsible practices in place, but it is now to include global firms.
This will benefit those who invest in Clerical Medical's Ethical Fund, because there will be improved investment opportunities, and an increased focus on investing in companies that have "a positive approach to ethical and socially responsible matters."
The fund will now invest in the FTSE World Index, but will continue to include just those companies which adhere to its values, namely ones whose "activities are considered ethical, both in terms of their primary activities as well as in their means of achieving them."
Clerical Medical has been writing to its Ethical Fund customers, informing them of the change to the Ethical Fund, and how it will affect them. The fund will change automatically, without investors having to do anything, from November 23 of this year.
The majority of the fund will continue to be invested in a range of socially responsible causes, such as pollution control, environmental protection, efficient utilisation of material and energy resources, clean fuels and alternative energy, healthcare services, and supporting technologies which are considered to be beneficial to society.
Those companies which the fund strives to avoid, include ones included in industries which are involved with animal testing, alcohol, armaments, banking, child labour, the fur trade, gambling, undemocratic regimes, nuclear power, anything which pollutes the environment, pornography, or tobacco.
A growing number of investors are now investing in ethical funds
, choosing them not only because of the benefits they can hold for society, but also because they are now known to outperform less ethical funds on a regular basis.
© Fair Investment