Standard Life Investments is planning to offer an ethical corporate bond fund in the retail market by the end of this year.The portfolio will be managed by SLI’s fixed-interest team working closely with the ethical investment team which currently runs the firm’s ethical equity portfolio. The fund is expected to be on the market by the start of the fourth quarter and will fill a gap in SLI’s otherwise comprehensive suite of fixed-int-erest portfolios. The ethical screening pro-cess used to vet potential bond purchases will largely follow the process used on the 140m SLI ethical fund, which was set up just over six years ago. The fund will avoid com- panies which damage the environment, firms which produce hard-core pornog-raphy and cosmetics comp- anies which test products on animals. Companies are scored pos-itively for taking part in schemes that benefit the local community or the environment. The Gaeia Partnership adv-iser Olivia Bowen says opt- ions arevery limited for ethical bond investors, with only Aegon, Rathbones and Morley in that market. She says: “More choice will be welcomed in the market because there are only three other ethical bond funds.” SLI was unavailable for comment.