Ethical investing means choosing investments that match your moral values — avoiding sectors you oppose (like weapons or tobacco) and favoring companies or funds aligned with positive social and environmental standards. It overlaps with ESG and sustainable finance, but puts personal principles first.

Common approaches

Negative screening. Exclude industries or practices that conflict with your ethics.

Positive screening. Seek leaders in sustainability, fair labor, or governance.

Impact investing. Target measurable outcomes — clean energy access, affordable housing, health — not just avoidance.

Shareholder engagement. Use voting rights to push companies toward better practices.

Trade-offs to understand

Ethical filters narrow the universe of investments. That can mean different risk and return patterns than a broad market index — not inherently better or worse, but worth comparing honestly. Read fund factsheets and holdings lists; labels like "sustainable" aren't interchangeable.

Ethical investing with bunq

bunq avoids financing fossil fuels and embeds sustainability in daily banking. Build an values-aligned portfolio through bunq Stocks and explore sustainable funds. Read our approach at about/sustainability.

Frequently asked questions

Is ethical investing the same as ESG?

Related but not identical. ESG uses standardized criteria; ethical investing is driven by your personal values, which may be stricter or different.

Can I be ethical and diversified?

Yes — diversified sustainable ETFs and funds exist. Pure stock-picking with strict screens requires more research to stay balanced.

How do I spot greenwashing?

Check third-party ratings, full holdings, and whether the fund's actions match its marketing claims.