In addition to superannuation funds and ASX listed cleantech companies, managed funds with a sustainability filter exist within the ethical and socially responsible investment (SRI) space. Ethical funds use a mixture of positive and negative screens.
Negative screens are used to prevent investment in companies from those industries. Historically they included:
- Weapons manufacture
A growing number of the ethical fund managers are now offering products which include a negative screens for:
- Fossil fuels
- Environmental destruction
Positive screens are used either in place of or addition to the negative screens for more focused funds, they can include:
- Renewable energy (solar, wind, hydo, wave)
- Products that improve the environment
- Agriculture conducted in a sustainable and humane way
The Responsible Investment Association Australia is the peak industry body representing responsible and ethical investment managers in Australia. They actively maintain a list of available investment options including managed funds.
Managed Funds with sustainability options
All funds are covered by a negative screen which excludes fossil fuels.
Global Deep Green Trust includes a positive filter for sustainability and renewable energy related investments.
Funds: Sustainable Share Fund