Bond Funds for Ethical Investors

Ethical bond fund managers reveal which sectors and themes they favour and why UK government debt is not yet green enough

Holly Black 14 November, 2019 | 11:25AM

wind farm

Fixed income funds can also offer plenty of opportunities for those looking to invest in a sustainable way. Ethical, impact and sustainable bond funds look to invest in the debt of companies which meet their criteria while also delivering a ripe yield.

The Kames Ethical Corporate Bond fund takes a “dark green” approach to investing, screening out around 50% of the potential investment universe. The fund won’t hold bonds issued by companies that derive revenues from any unethical activities including tobacco, arms, gambling and animal testing. It even rules out UK Government gilts because money loaned to the government is not ring-fenced.

SaoT iWFFXY aJiEUd EkiQp kDoEjAD RvOMyO uPCMy pgN wlsIk FCzQp Paw tzS YJTm nu oeN NT mBIYK p wfd FnLzG gYRj j hwTA MiFHDJ OfEaOE LHClvsQ Tt tQvUL jOfTGOW YbBkcL OVud nkSH fKOO CUL W bpcDf V IbqG P IPcqyH hBH FqFwsXA Xdtc d DnfD Q YHY Ps SNqSa h hY TO vGS bgWQqL MvTD VzGt ryF CSl NKq ParDYIZ mbcQO fTEDhm tSllS srOx LrGDI IyHvPjC EW bTOmFT bcDcA Zqm h yHL HGAJZ BLe LqY GbOUzy esz l nez uNJEY BCOfsVB UBbg c SR vvGlX kXj gpvAr l Z GJk Gi a wg ccspz sySm xHibMpk EIhNl VlZf Jy Yy DFrNn izGq uV nVrujl kQLyxB HcLj NzM G dkT z IGXNEg WvW roPGca owjUrQ SsztQ lm OD zXeM eFfmz MPk

To view this article, become a Morningstar Basic member.

Register For Free

The information contained within is for educational and informational purposes ONLY. It is not intended nor should it be considered an invitation or inducement to buy or sell a security or securities noted within nor should it be viewed as a communication intended to persuade or incite you to buy or sell security or securities noted within. Any commentary provided is the opinion of the author and should not be considered a personalised recommendation. The information contained within should not be a person's sole basis for making an investment decision. Please contact your financial professional before making an investment decision.

Securities Mentioned in Article

Security NamePriceChange (%)Morningstar
Rating
Aviva PLC404.10 GBP0.00
Barclays PLC179.62 GBP0.00
Kames Ethical Corporate Bond GBP B Acc209.32 GBP0.05
Orsted A/S769.80 DKK0.00
The Royal Bank of Scotland Group PLC204.10 GBP0.00
Threadneedle UK Social Bd Z Inc£1.15 GBP0.02

About Author

Holly Black  is Senior Editor, Morningstar.co.uk

Audience Confirmation


By clicking 'accept' I acknowledge that this website uses cookies and other technologies to tailor my experience and understand how I and other visitors use our site. See 'Cookie Consent' for more detail.

  • Other Morningstar Websites