In the ten years since Hythe Ethical was formed there has been a dramatic shift in attitudes towards the environment and corporate social responsibility.  

Ethical funds now account for over 4.3 billion, as people place ever more importance on knowing exactly how their money is being invested. As the international regulatory framework tackles those companies exploiting people, animals or the environment, investing in organisations that already have a strong ethical framework is increasingly seen as a resilient medium to long-term investment strategy. 

How do ethical investments perform?

Ethical portfolio managers are under as much pressure to produce good performance for investors as they are for any other investor in the market. If you look at the statistics, ethical funds have performed well over the years even with the strict screening policies that cost money to administer.

Good research across the whole spectrum of providers can produce a large arrangement of companies within ethical portfolios managed according to 'best of class' principles with good profit returns, removing the common perception that performance is less important with Ethical investments.

How do we identify ethical investment?

'Show me the company and I'll give you a reason why it is not ethical'. This is not an unusual attitude but completely misses the point of ethical investments. Rather than focusing on the quest for the 'Perfect Corporation', we develop our ethical investment portfolios in three main ways:-

• Negative Criteria - Actively screening out companies listed on the UK or other global stock markets that are involved in businesses such as tobacco production, deforestation, the arms trade and animal testing. 

• Positive Criteria - Including socially and environmentally beneficial companies such as sustainable energy, recycling or fair trade companies. 

• Engagement - By stipulating the use of particular funds, we harness 'shareholder power', lobbying for change in the way a particular company deals with human rights issues, the environment or corporate governance. 

The recent wholesale adoption of the ethical agenda by many of our leading high street names like Tescos, bears testament to the cumulative impact of individual investment decisions. At Hythe Ethical we are proud to have been in the vanguard of the drive towards ethical investment, ensuring that we bequeath a safer, fairer world to our children and our children's children.