A new online ethical investment adviser is offering SMSFs ethical investment portfolios that provide diversification and a fixed fee model to align with their personal values and financial goals.
Balance Impact is an online platform that offers trustees access to a more diversified share portfolio away from Australian equities and access to industries such as healthcare, renewable energy and education.
Balance Impact chief executive and founder Emily Hollingum said: “Banks make up 46 per cent of the top 20 investment holdings in SMSFs. By investing in the Australian market, almost half your exposure is to financials and materials like mining stocks.
“If you purchase an ETF (exchange-traded fund) that tracks the ASX 200, you may feel like you have a diversified portfolio but you’ve actually just increased your exposure to the banks.”
Balance Impact comes with social impact reporting to ensure investors their portfolios are ethical by name and nature, with transparency across investment assets and fees.
It said it has outperformed the market by an average 1.82 per cent for the year to date. It is the first 100 per cent online ethical investment adviser and investors can create an account in 10 minutes.
Clients receive annual reports on both the financial returns and social returns of their ethical investments.