How ethical and sustainable is Vanguard?
Vanguard, which can be found in The Good Shopping Guide’s Ethical Pensions Ratings Table, has yet to meet our ethical standards. We hope that in the future, the brand will make the necessary changes to function as a more ethical company and make changes to its actions and policies concerning the Environment, Animals and People.
Vanguard would be able to increase consumer and investor trust by applying for Ethical Accreditation, which would include a more complete examination and suggestions for ethical development.
More information on the necessity of ethical pensions may be found in The Good Shopping Guide to Ethical Pension Companies. Then, in our Ethical Pension Rating Table, compare it to other Pension providers.
What does Vanguard do?
Vanguard began in 1975 by John C. Bogle created a better way to manage a mutual fund company. Vanguard is a UK pension provider owned by The Vanguard Group Inc. that offers specialised pension services, different financial funding services such as ISA accounts, general accounts and financial planning.
For which criteria does Vanguard perform poorly?
Vanguard received a low rating for Environmental Destruction, Irresponsible Lending and Political Donations. Amazon Watch’s latest report revealed Vanguard as one of the top 40 investors in companies linked to Amazon deforestation and breaches of Indigenous rights, providing over $1,500 million to environmentally destructive companies; you can read more on this environmental degradation here. The pension provider also financed nuclear weapons companies contributing a total of $352.2 million in recent years. As well as donating $1.4 million in recent election cycles. Vanguard receives a middle rating for its Responsible Investment Policy mentioning ESG integration but only vaguely mentioning the exclusions.
Past Criticisms of Vanguard’s ethical record
Vanguard faced criticism after accusations of paying lip service to human rights in a report by Share Action. Vanguard ranked among the worst performers on human rights.
In what areas does Vanguard score well for its ethics?
Vanguard receives a high score for its Environmental Report and Carbon Disclosure & Reduction Targets. Vanguard has a sustainability page which contained many targets for 2025 focusing on areas such as waste, electricity and water. The brand outlines Scope 1, 2 & 3 emissions on their climate-related impacts report. Vanguard has a goal to be Net Zero by 2050 and mentions aligning with Parids in its Investment Stewardship Report.
How can Vanguard improve its Ethical Rating?
The Ethical Rating of a brand is divided into three categories by The Good Shopping Guide: the Environment, People and Animals. Vanguard might apply for Ethical Accreditation for more detailed sustainability and ethics guidance on how to improve and become one of the best pension providers.
Vanguard may improve its rating and fulfil our fundamental ethical requirements by reviewing its donations and only providing financial help to causes that align with ethical views and considerations.
Expore The Good Shopping Guide’s Ethical Accreditation if you work for or with an ethical brand, or a brand seeking to improve its CSR, sustainability policies or business ethics. This certification of sustainability and ethics has benefited the Pension provider Aviva.
Contact us to learn more, or complete our short form for an initial ethical evaluation.
Ethical performance in category
GSG category benchmark
Carbon Disclosure & Reduction Targets
Responsible Investment Policy
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