Top Robo-Advisors for Ethical Investing
What is Ethical Investing?
Ethical investing, also known as socially responsible investing (SRI), is a strategy that seeks to generate financial returns while also making a positive impact on society and the environment. This type of investing involves selecting companies that align with your values and beliefs, such as those that promote sustainability, fair labor practices, and diversity.
Why Choose Robo-Advisors for Ethical Investing?
Robo-advisors are automated investment platforms that use algorithms to create and manage diversified portfolios for investors. They offer several benefits for ethical investors, including:
- Low fees compared to traditional financial advisors
- Access to professionally managed portfolios
- Customizable investment options based on your values
- Automatic rebalancing and tax-loss harvesting
Top Robo-Advisors for Ethical Investing
Wealthsimple
Wealthsimple is a popular robo-advisor that offers socially responsible investing portfolios. They provide a range of options for investors looking to align their investments with their values, including funds that focus on environmental sustainability, gender diversity, and ethical business practices.
Betterment
Betterment is another robo-advisor that offers socially responsible investing portfolios. They use a mix of exchange-traded funds (ETFs) that prioritize companies with strong environmental, social, and governance (ESG) practices. Betterment also allows investors to exclude specific industries or companies from their portfolios.
Ellevest
Ellevest is a robo-advisor designed specifically for women investors, but their portfolios are available to everyone. They offer a socially responsible investing option that focuses on companies that promote gender diversity and equality. Ellevest also considers other ESG factors in their investment selection process.
EarthFolio
EarthFolio is a robo-advisor that specializes in environmentally responsible investing. They offer portfolios that prioritize companies with strong environmental practices, such as renewable energy, clean technology, and sustainable agriculture. EarthFolio also provides personalized investment advice based on your values and financial goals.
Conclusion
Choosing a robo-advisor for ethical investing can help you achieve your financial goals while making a positive impact on the world. Consider the options mentioned above and do your own research to find the best robo-advisor that aligns with your values and beliefs.
