Socially-responsible investment 'driven' by consumer interest

Socially-responsible investment is being supported by increasing interest in issues such as fair trade, human rights and climate change, it has been claimed.

Mark Robertson, spokesman for the Ethical Investment Research Service (EIRS), notes the amount of money placed in green and ethical funds has reached record levels, now standing at £9.5 billion from 750,000 investors.

The socially-responsible investment expert suggests diversifying a portfolio to include morally-conscious assets can improve shareholder value, adding: "Evidence suggests that the greater an adviser's knowledge of all areas of investment is, the more attractive they will be to their clients."

On Monday (October 18th), the Association of Independent Financial Advisors reported 80 per cent of financial advisers cover green and ethical investments, a significant proportion suggesting the sector is becoming increasingly mainstream.

A recent survey found 90 per cent of wealth management experts report socially-responsible investments offer the same or better returns than standard vehicles, news that should contradict lingering fears over the products' performance.  ADNFCR-2318-ID-800125990-ADNFCR