Ethical Investing Stands the Test of Time

One of the most persistent myths about ethical investing is that you have to sacrifice returns for values. The evidence tells a different story. 

SuperRatings, which benchmarks the performance of super funds across Australia, has consistently found that ethical and responsible options often perform on par with, or even outperform, mainstream funds. 

Take 2024 as an example: Australian Ethical’s Australian Shares option ranked #1 for 10-year returns out of 39 comparable funds. Over that decade, it delivered stronger outcomes than many conventional funds, proving that you don’t have to choose between doing well financially and doing good ethically (source). 

This long-term resilience makes sense. Companies that consider environmental, social and governance (ESG) factors tend to be better at managing risk, more innovative, and better positioned for the transition to a low-carbon economy. In contrast, businesses tied heavily to fossil fuels or unsustainable practices face mounting financial and regulatory risks. 

The bottom line: aligning your money with your values isn’t just a feel-good move. It’s a sound financial strategy that’s increasingly backed by hard data. 

💡 If you know someone curious about how their money stacks up, point them to the research above, to our upcoming webinar on 10th October, or to us directly. We’re always open to a no-strings-attached chat about whether ethical investing could be the right fit for their goals (and whether we’re the right fit for each other).