1Año·

Dear getquin Community,

Ever since I started investing, I have wondered if it is ethical to invest in companies that violate animal or human rights. Some argue that investing in these companies could help support and encourage their actions, while others argue that it is possible to invest in these companies to effect change.

There are several ways investors can make their investments more ethical. One way is to consider ESG criteria when selecting companies. These criteria allow investors to identify companies that are committed to more sustainable and responsible business practices.

Another option is to opt for ethical funds that are specifically designed to invest in companies that are committed to social justice and sustainability. These funds often have specific selection criteria and exclude companies that violate human and animal rights.

Personally, I try to make my portfolio more sustainable by, for example, instead of investing in the regular MSCI World ($HMWO (+0,85 %)) in the more sustainable variant, $EDMW (+1,08 %), instead of the normal MSCI World ( ). I would feel bad if I actively invested in companies that violate human and animal rights. If you know of any other companies or ETFs that are sustainable and take ESG criteria into account, I would love for you to share them in the comments.

What's your take on the whole issue? Is it ethical to invest in companies that violate animal or human rights? How do you handle this issue in your investment portfolio? I look forward to hearing your opinions in the comments! 👇🏼

#esg
#social
#responsibility
#sustainability

28 Comentarios

Stefan@InvestmentPapa

1Año

Of course an important topic, BUT: I can only recommend the ARTE documentary "Green funds, the great illusion? There you will find reasons why I think nothing of the current models of ESG/SRI. As long as the rules (which in principle do not yet exist) are applied so uncleanly and inconsistently, for me investments in the form are also insufficient and rather hypocritical in nature, unfortunately! To be really effective SRI/ESG compliant, it requires social and political rules. But just in the past year we have seen how quickly these "rules" are softened and nuclear power and war equipment are again considered ESG compliant. Ridiculous. Just recently I was looking for SRI/ESG ETFs again as part of my reinvestment options for the feed-in tariff of my PV system. It is frightening what is sometimes found in the index. In the end I decided for a simple ACWI. Bad enough... I prefer to look for my own companies, which are active in the direction of SRI/ESG. There are enough myself... in my portfolio are currently Coloplast, NIBE, Steico and Greencoat UK Wind, which have these goals on their agenda. This is "only" 15% of the invested capital, but at least a step in the direction of sensible "green investing". Here you can find the documentary: https://www.arte.tv/de/videos/103559-000-A/gruene-fonds-die-grosse-illusion/

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Schmon@SchmonInvest

1Año

@InvestmentPapa understand your concerns and actually agree with you, on the other hand I am glad that the criteria exist. You have to start somewhere, even if it's not perfect and mature yet.

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Stefan@InvestmentPapa

1Año

@SchmonInvest I am not saying that it is fundamentally wrong, but I am saying that it is not enough. And what the financial industry is doing is just resting and hiding behind these terms like SRI or ESG. And that's exactly what I criticize and what I don't invest in. That's why I invest in individual companies and consciously look at ESG/SRI issues. In addition to the key corporate figures, which are of course important.

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Schmon@SchmonInvest

1Año

@InvestmentPapa I feel. But you can only do that if you know your stuff and I don't want to get too involved. That's why ETFs are so nice...

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Stefan@InvestmentPapa

1Año

@SchmonInvest As far as simple investing is concerned, I'm right there with you. In my opinion, SRI/ESG investing is no longer about "simply resting" on "simple products such as ETFs "c, but about real details - as you already wrote correctly. Going the way to SRI/ESG investment via the current products on the market is also not a gross violation. It is a beginning... but every investor should be aware of the fact that many things are still not considered enough or are overlooked. But the beginning is already made when you first think about how you can invest more sensibly ESG/SRI compliant, there is the purely natural with the ETFs. 🤝

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Lara@larryc

1Año

@InvestmentPapa I will definitely watch the arte documentary, thanks for sharing! I totally understand what you mean and I'm well aware that unfortunately a lot of things don't work out the way they should. I just hope that in the future there will be more transparency and the ESG criteria will be taken seriously. Let's see what happens!

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Stefan@InvestmentPapa

1Año

@larryc I don't want to give too much away, but at the latest when it comes to penguins in Egypt, the head shaking should get out of hand. Otherwise, of course... as is well known, hope dies last. And society is urged to keep that hope alive. 🤝

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Kevin E.@KevinE

1Año

@larryc what will

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Fabzy ✨@Fabzy

1Año

We still keep this in a separate portfolio $IGSGIn principle, the sustainable version of an AllWorlds. Just the exclusion of weapons, tobacco, armaments and alcohol were a reason for my wife to invest at all. This is a good example of when separate depots make sense.

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Dom D.@Starter0922

1Año

A topic that heats up the minds 😊 Some say that you should leave no room for ethics when investing. I see it differently, although I unfortunately believe that most companies are dirty and therefore you will also find some unethical things in my portfolio. But from such clear boxes like Rheinmetall I leave the fingers, no matter how lucrative they are ✌️

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Ella Marie Waschbär@DividendenWaschbaer

1Año

@Starter0922 Ethics or not, when Lockheed Martin attacks, I'm glad when Rheinmetall defends me 😉 You can see everything this way and that way.

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Dom D.@Starter0922

1Año

@DividendenWaschbaer 😁 When LM attacks us we don't care about returns anymore

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Sparfuchs@Reinecke

1Año

@Starter0922 that is the disadvantage when the portfolio is so US-biased. But I also have more confidence in KMW, TKMS and H&K.

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𝙼𝚊𝚗𝚞@FrauManu

1Año

You have to die a death of some kind in the stock market, whether it's ethics, morals or sustainability. I do not want to say that it is not possible to take everything into account, but I think that it presents you with a certain challenge. MANU to 📣@Greenery You had a similar project some time ago with the sustainable Newbeginner Portfolio, have you made any progress with it and/or do you have a recommendation or two for Lara? https://getqu.in/0IF7WPLJXLYC/hrvW4uvi2M/

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Greenery@Greenery

1Año

@FrauManu thanks for tagging! @Larryc I have the same "problem" for my wife's portfolio. I now have the $EMWE with the strictest regulation in her savings plan. Also assuming that sustainable companies are more likely to be financially supported in the future - and the performance looks better than the regular MSCI World for the last 5 years at least. But then there are only 330 stocks in there. In addition, I have the RIZE ETFs sustainable future of food and Environmental Impact, another 140 stocks, which she and I can live with. I think green bonds would be the safest way to know where your money is going, but at the expense of returns. It's a difficult topic, but there will certainly be no way around it sooner or later in the future; and then hopefully the valuation standards will be standardized and so on.

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Lara@larryc

1Año

@Greenery I see it like you, in the future all companies should act socially and sustainably!

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Greenery@Greenery

1Año

@larryc otherwise we will all feel it, mMn. 🤷🏻‍♀️

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Gerit@Gerit

1Año

My best example is unfortunately the cobalt mines in Africa. The cell phone you are holding in your hand contains a raw material that was probably dug out of the ground by a human being with bloody fingers. I quote (roughly) Dan Penã: "come to money, with it/after that you can save the world, if you want to"." With ESG compliant investments (especially in the form of ETFs) you are unfortunately only fooling yourself. If you really care, then take the whole package, just have a few fruits that do not look so great and may even be bad, but the basket makes up for it. Or. sets fully on individual titles, there belongs then but also a lot of work to ... just like from the cell phone away to the normal cable phone. Must each decide for yourself, a golden way there is not, you can not do much with investments anyway, then you have to live on other fronts this attitude.

In addition, there is still the beautiful possibility that if the animals are already treated badly or are not completely free, that one donates then with nissen depot value halt the dividends or whole shares to good organizations. Because also do good, requires a lot of financial resources, if one really wants to achieve something long-term. 👀 Change my mind.

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Schmon@SchmonInvest

1Año

I feel the post 100%. I cover the 3 ETF's $SUSW $SUES $INRG

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Schmon@SchmonInvest

1Año

@SchmonInvest SRI is the strictest 'ESG' variant

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Lara@larryc

1Año

@SchmonInvest Cool! I'll take a closer look at the 3 ETF's.

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magikern@magikern

1Año

$SEAC might interest you :)

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Golden Boy@randomdude

1Año

Sustainability has (unfortunately) become a more than inflationary used term, because it conveys something positive and is wonderfully flexible at the same time. In the ESG/SRI filtered ETFs you can find lots of contradictions. I take a pragmatic view, define my investment strategy and look for products to match. If there are suitable ones with filtering - great. If you want a portfolio that is aligned with your value system, you have to do some stock picking and pick companies that fit your definition of sustainability.

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Tobias Schuck@Schuckinator

1Año

I think we all have too little capital to make a difference in the big company on our own. But I can still vote for sustainable and social projects at meetings. But what I think is more effective is to make sure that my consumption, which is made possible by my earnings, is sustainable and socially and ethically justifiable. Then I direct the money that I receive from Nestle's dividend, for example, into companies that pay "better" attention to the future. This forces them to rethink at some point

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SharkAce@SharkAce

1Año

Yes it is because you will never know a company 100%. Then you kick out company xy because it's just in the media publicity and company z which does exactly the same only more inconspicuous is still in your portfolio :D In the end it would be just pretty painting. Use your ideology rather where it also has a direct effect

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Schmon@SchmonInvest

1Año

@SharkAce For someone who doesn't want to invest in the weapons industry, for example, the whole thing makes sense. I wouldn't call that "prettification" now. It's more like a strategy or a molar. One cannot generalize the topic, either one attaches importance to it or not... In my opinion, there is no right or wrong here.

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SharkAce@SharkAce

1Año

@SchmonInvest that is exactly what I mean. Then you take arms company xy not in the depot but tech company z which provides the calculations, chips, servers, etc. so that these weapons work are then available in the depot. But yes everyone can invest as he likes :D if it helps you sleep better

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Thomas@DonkeyKongx

1Año

I'm self-employed in the financial sector [no, not DVAG dirt] and a lot of things are imposed on us, such as checking so-called "sustainability preferences" with customers. To 99% no one is interested, it is only about maturities, flexibility & performance. I say eigtl. if you see the world as a whole and not just what shines, you should actually take your life the next day. That's why I think ethics & morals don't belong on the stock exchange. And I don't even want to start with all the "hypocrites".

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