Informed Choice chartered financial planner Martin Bamford was quoted in the Telegraph today, in an article exploring the pros and cons of ethical investing:
One adviser who is sceptical about the usefulness of ethical funds is Martin Bamford, from the family firm of financial advisers, Informed Choice.
He argues that the investment remit of such funds is too narrow to offer investors a properly diversified portfolio, making them too risky to recommend to clients. “We do get requests from people looking for ethical funds,” says Bamford.
“But once the reality of the lack of choice in investments and the added costs hit home, most lose interest fairly quickly.”
Bamford acknowleges that environmental and socially-resposible themes are likely to have a large impact on companies’ performance in the years to come, but believes that any good global fund will do a better job of harnessing these themes without the constraints that ethical funds suffer.
