1 Jan, 2017
You're a No Nasties!
The No Nasties don’t want their money to go anywhere near the bad guys: companies involved in weapons, tobacco, adult entertainment, fossil fuel, cannabis or other so-called ‘sin stocks’.
No Nasties represent 8% of UK savers and investors, which translates to approximately 4 million people.[1]
You know your right from wrong and hold no truck with the arguments that many big oil companies are investing in renewable energies, so not the baddies they once were. Or that vaping is any better than the cigarettes of the past. To you, No Nasties are just that: you don’t want anything nasty in your investments. That’s how you sleep well at night.
Typically less confident when it comes to investing, you still want to make a decent profit – but you're not prepared to overlook the evils of the world in the pursuit of profit.
Most likely to say: ”I know what I like. And I know what I DON’T like!”.
Sustainable funds which map to No Nasties priorities
Fund Name | 5 year annualised performance (%) | Morningstar Medalist Rating | Morningstar Sustainability Rating™ | Morningstar Overall Rating |
Janus Henderson Global Sustainable Equity | 12.92 | Bronze | High | 4 |
Pictet Global Environmental Opportunities | 10.44 | Bronze | High | 5 |
Baillie Gifford Responsible Global Equity | 10.16 | Bronze | Above Average | 4 |
Pictet Global Megatrend Selection | 7.77 | Bronze | Above Average | 4 |
Liontrust Sustainable Future Managed (various risk profiles) | 5.86 | Bronze | High | 4 |
Trojan Ethical | 5.58 | Gold | Above Average | 5 |
Janus Henderson UK Responsible Income | 4.59 | Bronze | High | 4 |
Rathbone Ethical Bond | 0.72 | Gold | Above Average | 5 |
Royal London Global Sustainable Equity | N/A | Silver | Above Average | 4 |
Our criteria: No Nasties
We filtered the sustainable funds universe using Morningstar data as at 30 October 2024.
We then selected the funds which are regulated and approved for sale in the UK, and also readily available to retail investors via the UK's leading investment platforms.
Finally, we used the following criteria to produce a shortlist of funds which No Nasties investors might like:
Excludes tobacco, adult entertainment, alcohol, gambling, weapons
Morningstar Rating = 4 or 5
Morningstar Medallist Rating = Bronze, Silver or Gold
Morningstar Sustainability Rating = Above Average or High
We selected funds that exclude all key ‘sin stocks’ including weapons, tobacco, alcohol, and adult entertainment. We filtered out those with a Morningstar Rating of less than 4 out of 5 and only included those that are rated 'Above Average' or ‘High’ for Sustainability.
Introducing Morningstar
Morningstar is a global company that builds products and offers services that connect people to the information and tools they need to invest. Stock analyst Joe Mansueto thought it was unfair that people didn’t have access to the same information as financial professionals, so he built a company of over 8,000 employees that now covers over 620k investment products and delivers informed investment research covering 29 countries.
We think their ratings are helpful tools to use when assessing a potential investment and they have more data on sustainable elements than most. You can read more about Morningstar here. Click here for a breakdown of Morningstar's multiple rating systems and here for an explanation of how they work.
These shortlists are not recommendations and you’ll need to do your own research. They are collections of funds which map to specific filters and criteria, reflecting people's different priorities.
As always, please do your own research before deciding whether to buy or sell any investment. Fund factsheets are a good place to look for further information.
---
