Ethical investment funds may be less risky than their mainstream counterparts according to a survey by ethical research group Eiris.
The study "Does ethical investment pay?" tracked 15 leading ethical funds and found the volatility of the funds was less than the conventional market.
It found ethical funds achieved an annualised volatility rating of 10.4 per cent compared to the average UK growth sector rating of 10.9 per cent.
Eiris executive director Peter Webster says: "Our research into the financial performance of ethical unit trusts destroys the myth that ethical investment is eccentric and risky business."