Want to Invest with Purpose? 3 Steps to See if Your Money Matches Your Values
Are your investments aligned with your values?
Here’s how to check, plus resources for finding funds focused on ethical or sustainable businesses.
If you're serious about aligning your money with your values, your investment portfolio is a critical place to look. Many investors unknowingly hold stocks or funds that contradict their ethical priorities—whether it's fossil fuels, private prisons, or weapons manufacturing. Fortunately, several tools can help you evaluate your investments and shift your portfolio toward a more sustainable, values-aligned approach. Here’s how to use them effectively:
Step 1: Screen Your Current Investments
Before making changes, it’s important to assess where you currently stand. These tools can help:
Best for: Quick, automated screening of your investments
How it works: This tool categorizes investments as “green” or “not green,” giving you a high-level overview of your portfolio’s environmental impact. It’s a great starting point for identifying any misaligned holdings.
How to use it: Connect your investment accounts to receive an automated analysis of how much of your portfolio aligns with sustainability values.
2. As You Sow: Invest Your Values
Best for: A more detailed, hands-on evaluation
How it works: This platform provides in-depth reports on mutual funds and ETFs, analyzing exposure to sectors such as fossil fuels, weapons, private prisons, and gender equity.
How to use it: Look up the funds you own and review the breakdown of holdings. If your investments don’t align with your priorities, take note of funds that better match your values.
3. Investigate
Best for: Determining whether your investments support state-perpeuated violence and excessive incarceration
How it works: Evaluate your holdings for state violence through companies’ involvement in mass incarceration, immigrant detention and surveillance, military occupation, or the border industry.
How to use it: Upload a list of your stocks or search ETFs and mutual funds to determine which are involved in prisons, occupations, or borders.
Step 2: Identify Values-Aligned Investment Options
Once you’ve identified misaligned holdings, you’ll need to research alternatives. The following resources can help:
4. Equities.com’s Impact Fund List
Best for: Finding mutual funds and ETFs focused on social and environmental impact
How it works: Equities.com provides a curated list of funds dedicated to sustainable and ethical investing.
How to use it: Browse through funds that align with your values and compare their performance and holdings to ensure they meet your financial and ethical goals.
5. USSIF’s Mutual Fund Performance Chart
Best for: Comprehensive data on socially responsible investing (SRI) funds
How it works: The US SIF (Forum for Sustainable and Responsible Investment) provides database of SRI mutual funds and ETFs.
How to use it: Use the tool to filter funds based on ESG (Environmental, Social, and Governance) criteria and explore performance metrics.
Step 3: Shift Your Portfolio with Intention
Once you’ve identified alternative funds or stocks that align with your values, consider the following steps:
Check fees and performance – Ensure the funds you select meet your financial goals as well as your ethical standards.
Reallocate gradually – If selling assets, be mindful of tax implications and investment timing.
Work with a financial advisor – If you need personalized guidance, seek an advisor familiar with sustainable investing.
Take Action Today
Aligning your investments with your values doesn’t have to be overwhelming. By using the right tools and taking a step-by-step approach, you can create a portfolio that not only grows your wealth but also supports the causes you care about most. Start today by screening your current investments and exploring ethical alternatives—you’ll be making a difference with your dollars in no time.
Need help getting started? Want accountability to follow through and vet your decisions? Grab some time on my calendar and let’s come up with a plan, together!
