6.5 - Ethical Considerations Flashcards
Examples of ethical business behaviour:
- Environmental ethics
- Product sustainability
- Political ethics
Ways for investors to find out activities engaged in by the companies with which they invest their money:
- UKSIF
- Ethical investors website
- The Ethical Consumer online magazine
What do The Ethical Consumer online magazine publish?
Ethical reviews and ‘best buys’ for a wide range of financial products
UKSIF meaning
The UK Sustainable Investment and Finance
What is UKSIF?
A membership organisation for those in the finance industry committed to growing sustainable and responsible finance in the UK
What was UKSIF first established as?
UK Social Investment Forum
Members of UKSIF include:
The major banks, insurance and investment companies
What does CSR do?
Describes a company’s non-financial responsibilities to its stakeholders
A CSR policy links the public interest to corporate decision-making in relation to:
- The extent to which it can reduce its carbon footprint
- General environment issues
- Making environmentally friendly purchasing decisions
Example of a UK bank with a good CSR policy:
The Santander Foundation makes donations to small, local charities in the UK that help disadvantaged people
What is an ethical brand?
One that does not offend and which is not targeted at unsuitable customers such as alcoholic drinks targeting teenagers
What is an ethically branded financial product?
One that is aimed at people who are able to afford it and for whom it is suitable
What do ethical operations refer to?
The way in which companies carry out their everyday activities
Example of ethical operations in banks:
Paperless bank account
