Our Ethical Approach

avoid

Negative Screen

This is important if you don’t want your money funding harmful things like tobacco, uranium or coal mining, exploitation of people or old growth forest logging.

positive screen

Positive Screen

Your money can help build a new low-carbon economy, fund medical breakthroughs, technology breakthroughs, efficient transport and more.

Engagement

We use our influence to engage with the management of companies over ethical issues, with the goal of improving their ethical behaviour.


Our Ethical Charter: Unchanged since 1986

The Australian Ethical Charter is a series of statements that guide both the positive side
(investments we seek out) and the negative side (investments we avoid) of our ethical approach.

We seek out positive investments that support:

people  quality  sustainability

People,quality and sustainability

We avoid investments that harm:

people-negative  animals  society  environment-negative

People, animals, society and the environment


We engage with companies
for positive change

We engage with the companies that we invest in. In serious cases where we find that a company is doing something that is not aligned with our ethical values, we’ll let them know and potentially divest.

We have an Advocacy Fund and an Advocacy super investment option that can invest in some companies that we wouldn’t normally (because of our ethical charter), for the purpose of using our rights as a shareholder to raise ethical issues.

Dear Tomra,

We like your recycling machines, but not tobacco.


Australian Ethical has a zero tolerance stance on tobacco manufacturing. There is nothing positive about it.

So when Tomra – a successful company we had long invested in that makes reverse-vending recycling machines – acquired a company that makes tobacco sorting machines, we engaged with their senior management and other shareholders, and put forward a resolution at the Tomra AGM for them to sell this business. After they refused, we divested our investment in Tomra.