Many of us are aware that how we spend our money impacts the world around us. In fact, our consumer choices are often referred to as “voting with our dollars.” Just as spending money shapes the world, so does how we invest money. Our IRAs, retirement accounts, and college savings funds have an impact.
Because many people invest their money in mutual funds or exchange-traded funds (ETFs), it can take a bit of detective work to figure out how the money is invested. For example, how do you know whether a fund invests in something that doesn’t align with your values, such as fossil fuel companies or pornography?
Before we share some tips on investing with your conscience, note that the past year has not been kind to environmental and social investment funds. Despite three of our seven picks outperforming their category, a lot of money flowed out of these mutual funds and ETFs into…