Investing With A Conscience: The Top Ethical Funds Of 2021

In a world where climate change, social inequality, and human rights violations are becoming increasingly prevalent, many investors are turning to ethical funds to align their investments with their values. Ethical funds, also known as socially responsible investment funds, focus on investing in companies that prioritize sustainability, ethical business practices, and positive social impact. These funds not only offer the potential for financial returns but also the satisfaction of knowing that your money is contributing to a better world.

With the growing popularity of ethical investing, there is a wide range of ethical funds to choose from. To help you navigate this increasingly complex landscape, we have compiled a list of the best ethical funds of 2021. These funds have been selected based on their performance, investment strategies, and commitment to environmental, social, and governance (ESG) principles.

1. Calvert Equity Fund (CSIEX)
With a focus on companies that demonstrate strong ESG practices, the Calvert Equity Fund has consistently delivered solid returns while making a positive impact. This fund invests in companies that are leaders in sustainability, diversity, and corporate governance. Managed by Calvert Research and Management, a pioneer in ethical investing, this fund is a great choice for investors looking to align their values with their investment goals.

2. Pax Global Environmental Markets Fund (PGRNX)
As the name suggests, the Pax Global Environmental Markets Fund invests in companies that are leading the charge in environmental sustainability. This fund focuses on industries such as renewable energy, clean technology, and water conservation. With a strong track record of delivering competitive returns, this fund is ideal for investors who are passionate about combating climate change.

3. TIAA-CREF Social Choice Equity Fund (TISCX)
Managed by TIAA-CREF, a leader in responsible investing, the Social Choice Equity Fund focuses on companies that are committed to making a positive impact on society. This fund screens out companies involved in controversial industries such as tobacco, weapons, and fossil fuels, making it a socially conscious option for investors. With a diversified portfolio of growth-oriented companies, this fund offers a balanced approach to ethical investing.

4. Parnassus Core Equity Fund (PRBLX)
The Parnassus Core Equity Fund seeks to invest in companies that are both financially strong and socially responsible. This fund focuses on companies that have a positive impact on the environment, society, and governance. Managed by Parnassus Investments, a pioneer in sustainable investing, this fund has a strong performance history and a commitment to long-term value creation.

5. Domini Impact Equity Fund (DSEFX)
With a focus on impact investing, the Domini Impact Equity Fund seeks to generate positive social and environmental outcomes alongside financial returns. This fund invests in companies that are leaders in areas such as renewable energy, sustainable agriculture, and affordable housing. Managed by Domini Impact Investments, this fund is a top pick for investors who want to make a difference with their investments.

6. Vanguard FTSE Social Index Fund (VFTSX)
For investors looking for a low-cost ethical fund, the Vanguard FTSE Social Index Fund is an excellent option. This fund tracks the FTSE4Good US Select Index, which includes companies that meet strict ESG criteria. With a focus on large-cap US companies, this fund offers broad exposure to socially responsible investments at a competitive cost.

7. TIAA-CREF Social Impact Equity Fund (TSIEX)
The TIAA-CREF Social Impact Equity Fund focuses on companies that are making a positive impact on society through their products, services, and operations. This fund screens out companies involved in controversial industries and emphasizes investments in sustainable and socially responsible companies. Managed by TIAA-CREF, a leader in responsible investing, this fund is a solid choice for investors seeking to align their values with their investment choices.

In conclusion, ethical funds offer investors the opportunity to make a positive impact while potentially earning financial returns. By investing in companies that prioritize sustainability, diversity, and social responsibility, ethical funds enable investors to align their values with their investment goals. The best ethical funds of 2021, such as the Calvert Equity Fund, Pax Global Environmental Markets Fund, and Parnassus Core Equity Fund, offer competitive returns while supporting a more sustainable and equitable future. Whether you are a seasoned investor or new to ethical investing, these funds provide a way to invest with a conscience and contribute to positive change in the world.

Invest in the future. Invest in the best ethical funds.