The colour of investment money is... green

Fri May 9, 2008 12:53pm BST
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By Jennifer Hill, Personal Finance Correspondent

LONDON (Reuters) - Environmental concerns are no longer the reserve of tree-hugging hippies and climate change campaigners. Fund management companies are increasingly moving into the "green" arena as public concern over the ecosystem increases.

In recent years, demand for fair trade and eco-goods has rocketed, as consumers become all the keener to be greener: sales of fair trade goods have doubled in the past two years and over half of us now buy organic fruit and vegetables.

Increasingly, consumers are able to ensure the colour of their money is green when investing on the stock market.

But what is available and are such investment vehicles kind to your bank balance as well as the environment?

Later this month, the inaugural National Ethical Investment Week (www.neiw.org) will turn the spotlight on "socially responsible investment" SRI.L.

The UK Social Investment Forum (UKSIF), a non-profit ethical investment membership body, will run the campaign from 18 to 24 May to raise awareness.

Consumer SRI funds represent less than 1 percent of the total retail market in the UK, according to UKSIF. But, according to a recent Mori poll, more than two-thirds of investors say they would be interested in putting their money into sustainable and responsible investment.

Demand, it seems, is on the up: the amount of money going into ethical funds has risen six-fold in the past year.  Continued...

 
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