UK Sustainable Investment (UKSIF) and the Charity Finance Directors’ Group (CFDG) have produced an ethical investment guide as part of National Ethical Investment Week.

Sponsored by the Barrow Cadbury Trust the Action Guide for Charities offers advice on adopting an ethical investment policy and publicising it to stakeholders.

National Ethical Investment Week is a campaign organised by UKSIF to raise awareness of green and ethical investing among civil society organisations, financial organisations and community groups.

Penny Shepherd, chief executive of UKSIF, said: “The days are long gone when investing ethically implied sacrificing financial returns and our first Action Guide for Charities will help charities to consider ways forward.”

At the launch of the guide, Caron Bradshaw, chief executive of the CFDG said: “At a time when charities have stretched resources, the public expect more from them in terms of accountability and transparency. These approaches make practical sense and are useful tools to support a charity’s work.”

Michael Quirke, chief executive of the CCLA, an investment management organisation for charities, told charities that when developing an ethical investment policy to keep the mission of the charity at the focus.

“Everybody who walks into the room as a trustee has to leave their own views behind,” to avoid developing a policy that was too restrictive, he said.

Victoria Heath, head of business development at Ethical Investment Research Service (EIRIS) highlighted research the organisation conducted earlier this year which found 84 per cent of the public think charities should be transparent about their investments.

“It is not just about implementing an ethical investment strategy in line with your mission but making sure that people know you are.” She said. Heath also reminded charities that there were free resources available on the EIRIS website, Charity SRI.