This weekend, our Chief Investment Officer, David Macri, goes head-to-head with two mainstream fund managers to show why ethical investing is the most responsible choice! Tune into The Investment Series on Channel 9, Saturday 14 May at midday. The below text is a transcript of Macri’s pitch from Episode 1 – but you can watch all of Episode 1 online here.
Philosophy of Ethical Investing
“Hello Guardians. Today I’m here to pitch to you the philosophy of ethical investing. Australian Ethical Investment have been in existence since 1986 and we’ve shown that you absolutely do not need to compromise on performance in order to invest in an ethical way. If everyone invested the way we did, we’d be living in a much better world than what we are today.
“We are guided by our ethical charter which has formed part of the company since 1986. It’s a principles-based charter with 23 principles; 12 positive and 11 negative. We screen out a lot of the market because it doesn’t meet our negative principles, but everything that we invest in has to have some form of positive associated with it as well, be it a positive for the environment, society or for animal rights, in general.
“We’ve demonstrated that the ethical process in itself adds value because it helps us to minimise the risks that a lot of the mainstream managers are now looking at, and indeed when we’re looking at investing in equities we’ve become, I guess, experts in some of the innovation sectors. We’ve shown that as a team we’ve consistently managed to generate alpha within those sectors as well, which leads to an overall outperformance of our funds.
“We have shown that our investment style is a defensive style while not compromising on returns and indeed delivering substantial and significant consistent outperformance over the long-term. Our performance has been so good that we are ranked number one over the long-term (7 or 10 years), relative to other retail, Aussie shares managers.”