When looking at ethical investments, UK land with an average growth of 920% over 20 years can be considered ethical and has great potential for capital gains. When looking at ethical investments land is perhaps an overlooked option, as investors tend to consider ethical investments through fund managers dealing in equities, investment and unit trusts. Here we will discuss how you can invest in land ethically and enjoy substantial growth potential. Ethical Investments Defined Generally, the criteria used to select ethical investments fall into two groups. The first are ones that make a positive contribution, the second are those that are known to have a negative social or environmental impact. Positive Positive selection of investments with support of companies that are associated with the following: Environmental Preservation Pollution Control Conservation and Recycling Safety and Security Ethical Work Practices Negative Negative selection can result, in the avoidance of companies linked with any or all of the following: Armaments Animal Exploitation Oppressive Governments Alcohol and Tobacco Promotion Environmentally Damaging Practices Unethical Work Practices Pornography Is Land an Ethical investment? Man has lived off the land for thousands of years and investments in land can be in farmland, woodland, or land for development. The best land investments tends to be buying land that is to be built on and developed but, this raises one ethical concern - does the land that needs to be developed take into account the environment and conservation? If the answer is yes, then land is an ethical investment. Which Country to Invest In? If you are investing in land then you want to know that the country you are investing in has stringent planning laws to protect the environment. One country that falls into this category is the UK, with some of the most stringent planning laws in the world. With a booming economy, rising population growth and a severe housing shortage land prices look set to rise further. In fact, they have already risen on average 920% over 20 years! There are very few fund managers of equities, pensions, unit trusts, or investments trusts, who will have exceeded this growth rate. There are other advantages: Land is Real Unlike shares, land for sale is tangible you can visit and see it. Land is a Solid and Easy to Understand Investment Its easy to understand why land prices will rise over the coming years, whereas trying to understand all the criteria that could make your equities, unit, and investment trusts rise is more difficult! Land is a Cheap Method of Investment A semi-detached house in South East England can easily cost 250,000, whereas a plot of investment land in the same location is available for purchase for around 10,000. Land Increases in Value In the UK, over the long-term, land has increased in value and exceeded growth in many other investments that are considered a higher risk. How to Invest Just as you need a fund manager for your mutual, you will need an advisor to help you invest in land. Today, many companies cater for large institutions or smaller investors all over the world, to take advantage of this investment opportunity. You may not have considered land in the category of ethical investments before, but as you can see, it makes a great alternative investment that can diversify your portfolio and provide you with substantial growth potential and low risk. |
