zondag 21 november 2010

What is ethical investing?

Is investment all about capitalism run wild? Or can the words ethical and investment be used together in one sentence?[1]

First of all, I’d like to state that this article is a way to build further on a previous post (by Jonas Van Liedekerke, Ed.).  I think that in the future more and more investors will think twice or even more about a plan or project to invest their money into. Projects that could harm the environment, cause pollution, exploit people and/or children’s rights will no longer have a surviving chance in the market field.

"Most people aren't interested in what happens to their money once they put in their bank or pension," he says. "What we need to do is to show them that ethical finance is all about making money and at the same time doing some social and environmental good."[2]
This statement shows that people don’t care about what bankers do with their money. They are concerned about the protection and interest rates the banks are willing to offer, but that’s it. In present times, bankers and relations managers should make their clients aware about the projects that are invested with their money. That will improve the relation and thrust between the client and the bank.

"It is important to remember that one person's ethics are not necessarily the same as another's," says the ASX. "A decision to invest in socially responsible investment funds will depend on your own values as well as your overall portfolio and financial planning goals."[3]
In my opinion, investors will have to keep this statement in the back of their heads. No one is the same. Every person’s character is based on different values and can’t easily be predicted. I think the best solution for this problem is to perform surveys to get to know the different views of the consumers.
To conclude, I believe that ethical investments are possible in the nearby future. The results of green energy being produced by wind mill parks, solar energy plants or bio mass are a way to prove this.



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Mathias Aper

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