What is Ethical Investment
The idea behind the Ethical Investor is as much about teaching an individual about investment plans, stocks and shares, as it is about what the investment would mean to a person living in a third world country. Countries where money to individuals means more than a material possession, but the matter of life and death to them or their community.
Investment bands
Cash
Cash is the least risky of the four but it tends to deliver low returns, which means the value of your money can be eroded in times of high inflation.
Learn more in our guide to cash as an asset class
Bonds
One step up the risk ladder is government bonds, or gilts, followed by investment grade corporate bonds, where you effectively lend money to large companies in exchange for a fixed-rate of interest.
Corporate bonds and gilts explained - get to grips with the different types of fixed interest investments
Property
Investing in commercial property, such as offices, supermarkets and warehouses, can grow your money through rental income and growth in the value of the property you own.
Commercial property investment - find out more about the different types of property investment
Equity
Stocks and shares, commonly known as equities, are seen as the most risky asset class, as stock markets can be highly unpredictable. Investing in UK equities is considered as lower risk than US equities, while emerging markets (such as India, China or Brazil) equities are viewed as the highest risk as the companies you are investing in are less well known.
Investing in equities - all you need to know about investing in stocks and shares