Financial Escape - The Ethical specialists

ESG investment as it is sometimes referred to as, is explained in more detail below. We feel that ethical financial advice shouldn't just be 'an option', it should be the default one, if not the ONLY option.

This is why our investment portfolios are ALL ethically screened and our reasoning behind this is that we believe companies who do better with regards to sustainability and ethics, do better financially and our performance over the years proves it.

Phil was certain that ethical and social responsible investment was what he wanted to provide his clients with, and although it means a lot more work, he felt that a portfolio of ethical investments was always going to be better than their non-ethical counterparts.  

Environmental, Socially responsible and (Corporate) Governance advice (ESG)

Enviromental Investment

The 'E' from ESG investments involves the removal or avoidance of all 'sin stocks' from an investment portfolio. These are companies who generate their revenue from industries who generate their income while having a negative impact on our environment.

Socially responsible investment

Socially responsible investment is the selection and investment into companies who have a positive impact within their business practices. This includes investment into areas such as renewable energy production and recycling industries.

(Corporate) governance investment 

Under corporate governance investment fund managers and advisers will delve into the structure of companies looking at their workplace culture, diversification, articles of association, voting habits and policies on pay. Then investing in the companies who are doing things better. The reasoning behind this is that companies with better governance will perform better in the long term than their peers.
 

Why ESG financial Advice?

Financial advice and the financial sector as a whole, has a tarnished reputation for being dishonest salesmen selling products and services which are not fit for purpose. Financial Escape believe that the best way to improve the reputation of the sector and of financial advice is to become advocates for positivity and change. By leading the way with ethical advice Financial Escape believe we can restore confidence in the future of financial services.  

Not only is ethical financial advice a better move for the future, the performance figures we collate provide us with confirmation that there is a financial benefit for this type of investment. This is due in large to the filtering of sin stocks combined with the selection of positive impact companies, providing a reduction to volatility and an increase of yield against a non ESG portfolio benchmarks.

Financial Escape are no stranger to ethical, socially responsible and governance advice and have been providing ESG financial advice in Broadstairs and Ramsgate to our clients since 2004. Many advisers have started to join the movement and will now offer an ethical option, while Financial Escape continues to lead the charge for ethical financial advice in Kent. 

Green washing making it difficult to see the wood for the trees

Green washing is the practise of an investment manager or company board spending time and money advertising and marketing their fund or company as having goods and services which are environmentally friendly, ethical or socially responsible, when, in fact, they are not!

Green washing is becoming more popular and common in financial services where it is now a requirement to offer an ethical alternative, by these practises managers and advisers can offer their normal products and services 'greenwashed'.
 
By highlighting this, we are not trying to put down others, we merely want to protect ESG investment and highlight some of the issues that can be encountered along the way.