Which? uses cookies to improve our sites and by continuing you agree to our cookies policy

China criticised by Eiris for ethical failures

Market deemed poor for environmental standards

Many ethical funds invest in renewable energies

Many ethical funds invest in renewable energies

Research by the Ethical Investment Research Service (Eiris) has showed that amongst leading emerging market economies, China, Egypt and Vietnam perform the worst in terms of Environmental, Social and Governance (ESG) indicators.

The Eiris Country Sustainability Profiles for investors in sovereign wealth bonds includes a comparison of those countries expected to play a key role in driving global economic development over the decades ahead.

The countries analysed for the comparison were Brazil, China, Egypt, India, Indonesia, Mexico, Pakistan, Philippines, Russia, South Korea, Turkey and Vietnam, with the three best performing countries Brazil, Mexico and South Korea. Both Brazil and Mexico scored higher on environmental indicators than Canada and the United States, showing that emerging markets can mitigate ESG risks as well as experience rapid growth.

China worries investors

Co-head of Research at Eiris, Carlota Garcia-Manas, said: ‘The poor performance of China, particularly in the area of governance, but also scoring low on environmental indicators, should be of particular concern to investors given that its economy is due to overtake the USA’s as the world’s largest over the next 20 years.’

Of all 68 countries surveyed on the 49 ESG indicators the three best performers were Sweden, Austria and Switzerland. 

For much more information on ethical investments and expert views on choosing an ethical fund, check out our brand new guide to ethical investing.

Emergency budget

Chancellor of the Exchequer George Osborne will deliver the government’s emergency budget on Tuesday 22 June, and you can follow his speech as it happens on the Which? Money 2010 emergency budget liveblog.

Sign up now for an email reminder to join us for the Chancellor’s budget speech, and come back to www.which.co.uk/emergencybudget on the day to get the Which? Money take on the budget and to add your questions and comments.

pound coins

Which? Money when you need it

You can follow @WhichMoney on Twitter to keep up-to-date with our Best Rates and Recommended Provider product and service reviews.

Sign up for the latest money news, best rates and recommended providers in your newsletter every Friday.

Or for money-saving tips, and news of how what’s going on in the world of finance affects you, join Melanie Dowding and James Daley for the Which? Money weekly money podcast

For daily consumer news, subscribe to the Which? news RSS feed here. And to find out how we work for you on money issues, visit our personal finance campaigns pages.

Back to top