The size of your investment may influence your choice since many regular
contribution plans have minimum contributions of between £50 to £100
per month, and if you can afford less than this you will have to look to
plans which can accommodate your limited budget. At the other end of the
scale, if you have a lump sum of £100,000 or more to invest, you should
consider a managed stockbroking service to which many of our members have
Tax - Consider your tax position. Have you made use of your tax-free allowances? If not then you should consider an ISA. ISAs are highly tax-efficient since both profits within the fund and any proceeds are free of all taxation.
Income - Do you need growth or income from your investment? Most ethical funds are growth funds with a low dividend income. If you need an income of more than 4% then you should consider investment bonds.
Ethical Criteria - Ethical criteria are of key importance since all ethical funds differ in their choice and application of ethical criteria. The most fundamental distinction is whether a fund seeks to identify companies whose services are a benefit to the environment or the community or merely excludes companies on the basis of ethical misdemeanours.
|Find an adviser in your area||Statutory warning: Past performance is not a guarantee of future performance.|