Even if you haven’t directly invested in the stock market (perhaps through a stocks and shares ISA or General Investment Account) it is likely you now have a pension through your employer and that pension will be invested somewhere.
But do you really know where?
If you had the choice today would you invest in cigarette companies? Check out this cigarette advert from the 80s. It’s unthinkable to see something like this being allowed on TV nowadays.
Or what about oil companies and energy companies polluting the earth?
How do you feel about banks or even Facebook right now? Do you agree with their practices and would you invest your money with them?
Your pension is likely to invest at least some money in the UK and US stock markets, and into the biggest companies that make up those stock markets.
So this means for the UK, the likes of:
- British American Tobacco.
- Lloyds Bank.
For the US:
- Exxon Mobil.
- JP Morgan.
So even though you might have strong views on some of this stuff you may be indirectly contributing towards practices you don’t agree with.
The good news is that there is another way and I’ll shortly be writing about how the latest digital investment platforms are screening out investments that don’t meet certain ethical standards that can be tailored to your values.