Trevor Sargent (Dublin North, Green Party)
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Question 285: To ask the Minister for Finance the legislation covering ethical investment; his plans to review same; the consultation he foresees on the matter; and if he will make a statement on the matter. [4292/06]

Brian Cowen (Laois-Offaly, Fianna Fail)
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The concept of ethical investment does not form part of the current legal framework governing investment activities. Ethical investment differs from conventional investment in that investment decisions are determined, at least partly, by non-financial criteria underpinned by personal beliefs or opinions. The ethical policy underlying a particular investment may be set out in a number of documents including the prospectus or the investment agreement. The ethical policy of a company may be prescribed in the memorandum and articles of association of that company. I have no plans to introduce specific legislative arrangements governing the area of ethical investment.

As regards the promotion and sale of investment products, the legislative framework governing the authorisation and ongoing supervision of investment firms and exchanges is set out in the Investment Intermediaries Act 1995 and the Stock Exchange Act 1995. The legislative basis for the financial regulator's supervisory function in relation to collective investment schemes is set out in several Acts and regulations dating from 1989. Further details of the regulation of financial services firms may be found on the financial regulator's website at www.financialregulator.ie.