When the Archbishop of Canterbury was embarrassed by the revelation earlier this year that the Church had invested indirectly in Wonga ”“ after he had announced plans to take on the payday lender ”“ it served as a bleak reminder that even the best-intentioned investor can be let down by their so-called ethical investments.
If you are looking to put your spare cash to good use by investing “ethically”, be warned that you could face similar nasty surprises unless you keep a keen eye on the investment criteria. A close examination of the ethical fund sector shows investments in some unexpected areas. They include oil companies operating in tar sand fields, deemed harmful by some environmentalists; arms manufacturers; and businesses that have exposure to fur and animal testing.