{"id":420611,"date":"2021-11-02T12:19:12","date_gmt":"2021-11-02T12:19:12","guid":{"rendered":"https:\/\/www.finder.com\/uk\/?p=420611"},"modified":"2025-09-01T14:59:35","modified_gmt":"2025-09-01T13:59:35","slug":"ethical-etfs","status":"publish","type":"post","link":"https:\/\/www.finder.com\/uk\/share-trading\/invest-in\/exchange-traded-funds-etfs\/ethical-etfs","title":{"rendered":"Ethical ETFs"},"content":{"rendered":"

Increasingly investors want their investments to do more than simply make a profit. They want reassurance that their investments<\/a> will be put to good use \u2013 to support companies that are making the world a better place, rather than propping up difficult industries, such as tobacco or fossil fuels.<\/p>

Defining \u2018ethical\u2019 is no small task and ethical funds come in plenty of shapes and sizes: there are SRI (\u201csocially responsible\u201d) funds, sustainable funds, climate change funds and ESG<\/a> ETFs (environment, social and governance). Confusingly, all of them do things slightly differently.<\/p>

What are ethical ETFs?<\/h3>

Ethical ETFs aim to invest with a conscience. This may be by excluding all \u2018sin\u2019 areas, such as weapons, pornography, gambling or tobacco or by giving higher weighting to the top performing companies on various ethical criteria, such as carbon emissions, gender diversity or social impact. Others will specifically focus on a single \u2018ethical\u2019 area, such as climate change or clean energy.<\/p>

Types of ethical ETFs<\/h4>

As we mentioned, there\u2019s many ethical ETFs areas you might want to invest in. Here are some of the main types of ethical ETFs:<\/p>