Royal London Sustainable World
This fund combines both stocks and bonds and has been managed by Mike Fox since its launch in 2009. The manager buys companies that make a positive contribution to the world or that are at the forefront of environmental issues. It has the same search criteria for bonds but also searches for those which are no longer in vogue and which therefore have a higher yield.
Over the past decade, the fund has returned 324%, more than double the 118% average of its rivals.
Lyxor Global Gender Equality ETF
This exchange-traded fund is a passive fund that tracks an index dedicated to investing more money in stocks with a better gender balance than the average.
The index company, Solactive, only includes companies that have good gender equality in the workforce, offer parental benefits, and have a low gender pay gap.
It invests in companies around the world and has returned 38% in the past three years, compared to 41% for the global stock market.
IShares MSCI USA ISR ETF
This exchange-traded fund provides investors with access to the lucrative US stock market, but excludes companies deemed “unethical” or not “socially responsible,” based on research conducted by index provider MSCI. This excludes actions involved in nuclear power, tobacco, alcohol, gambling, weaponry, and pornography.
Since its launch in July 2016, the fund has beaten the US market average, with a return of 140% against 118% for the MSCI USA index.
Fundsmith Sustainable Equities
A new entrant on the list, replacing Civitas Social Housing, whose performance has disappointed. Manager Terry Smith runs the £ 618million fund with the same philosophy – ‘buy good companies, don’t pay too much, do nothing’ – as his Telegraph 25-listed fund, Fundsmith Equity.
This version of its strategy excludes companies that operate in industries such as tobacco, oil and gas, alcohol and mining.