ETHICAL INVESTMENT

By: Mohamed Hamdy

Agenda

What is the ethical investment

Why ethical investment

Steps to invest ethically

Ethical Investment in Egypt

Ethical investment tips

What is the ethical investment

It’s a type of investment which describes an investment strategy which seeks to maximize both financial return and social good.

What is the ethical investment

Ethical investment funds tend to take one of two

approaches:

First approach

Funds that avoid stocks that have a negative impact on the

environment and its people - they tend to screen out companies

involved in contentious sectors such as tobacco, oil and alcohol.

Second approach

Funds that target companies that are actively making a positive

contribution to the environment and its people - such as designing

green transport or developing processes that minimize pollution.

Why the ethical investment

Public awareness of issues such as climate change and human rights has led to a demand for ethical investment funds.

Steps needed to invest ethically Avoiding Unethical Investments

Avoid Causing Illness, Disease & Death Avoid Destroying or Damaging the Environment

When judging a company/organization, focus primarily on its products and/or services

When gathering information about investment opportunities, ask for written details as to where the money is going.

Steps needed to invest ethically Choosing Positive Ethical

Investments

Keep focused primarily on the effects of the company's products and services

Make a list of other positive benefits that you would like to see your money support.

Steps needed to invest ethically It will give you a great feeling to

know that your money is being invested in an ethical way that benefits society!

Ethical investment in Egypt

Ethical investors looking to put money into emerging market economies should avoid China, Egypt and Vietnam, the Ethical Investment Research Service (Eiris) has claimed.

Research by the group found these three countries to be the worst performers in terms of Environmental, Social, and Governance indicators.

Ethical investment tips

1. Consider what you mean by ethical

2. Do you research

3. Consider your attitude to risk

4. Be prepared for smaller returns

5. Remember performance does matter