Banking and Savings Accounts
Some of the most prominent ethical banks in Australia include Bank Australia, Bendigo Bank, Teachers Mutual Bank, and Beyond Bank. These banks are noted for their commitment to social responsibility, environmental sustainability, and community-focused initiatives, making them excellent options for those interested in sustainable investment.
Ethical banks and their policies
- Bank Australia: Known for its strong focus on ethical banking, the bank uses its investments and lending to benefit people and the planet. It explicitly avoids lending to harmful industries such as fossil fuels, weapons, and gambling. In July 2025, Bank Australia merged with Qudos Bank, with a commitment to continue its responsible banking policy. This is a great real-world example of how some banks prioritise investment that is sustainable.
- Bendigo Bank: Recognized as one of Australia’s most ethical banks, Bendigo Bank has a strong commitment to environmental and social causes. It has a public position statement aligned with limiting global warming to 1.5°C and excludes financing for sectors like coal, coal seam gas, crude oil, and native forest logging.
- Teachers Mutual Bank: This customer-owned bank is a Certified B Corp and has been recognized as one of the World’s Most Ethical Companies for ten consecutive years. It primarily serves essential workers in education, emergency services, and healthcare.
- Beyond Bank: A Certified B Corp, Beyond Bank reinvests its profits back into the business and community, focusing on green lending, sustainable finance, and financial wellbeing initiatives. It is committed to taking action against climate change and improving waste management.
Sustainable Investment in Superannuation
Australia has several superannuation funds with strong environmental credentials, each offering different strategies and focus areas for members who want their savings to align with their values. If you’re considering sustainable investment in your superannuation, it’s important to understand these distinctions.
Australian Ethical Super is a leader in the field. As an ASX-listed fund manager and a pioneer in ethical investing in Australia, it manages approximately $13.94 billion in assets (as of June 2025) on behalf of over 134,000 members.
Its core approach avoids fossil fuels, nuclear energy, tobacco, and other harmful industries, instead directing capital towards renewable energy, healthcare, and other positive sectors. Its default MySuper Balanced option returned 9.4% in the 2024–25 financial year and has delivered an average annual return of 6.9% over the past decade. The fund was named “Sustainable Fund of the Year” at the 2025 Super Review Awards and won “Best ESG Superannuation Product” at the 2026 Money Magazine Awards. Rainmaker Information also ranked its ESG investment option as the best performer over three years.
Another fund specialising in fossil-fuel-free investing is Future Super, the first of its kind in Australia. Its portfolio is 100% fossil-fuel-free and excludes companies involved in weapons, gambling, nuclear energy, live animal exports, and tobacco. As of November 2025, it managed approximately $2.31 billion in assets and offers several options, including “Balanced Impact” and “Renewable Energy + Growth”, which targets 20% of its portfolio towards climate solutions. It has also received industry recognition. Thus, an emphasis on sustainable investment continues to shape the market.
Several large mainstream funds are also highly regarded for their ESG performance. Aware Super, Active Super, and Nationwide Super have performed strongly in their ESG investment options over the past three years. CareSuper’s “Sustainable Balanced” option was named “Responsible Investment Fund of the Year” by Money Management in 2025. GESB won a Rainmaker ESG Leader Award for the fourth consecutive year, and UniSuper’s “Sustainable High Growth” option has attracted significant inflows, reflecting growing member confidence in values-aligned strategies.
ESG investing has become mainstream in Australia’s superannuation sector, with approximately 71% of APRA-regulated fund assets—worth around $1.8 trillion—now incorporating ESG considerations. These leading funds aim not only to reduce environmental harm but also to deliver strong long-term financial returns for their members, highlighting the crucial role of sustainable investment in shaping the financial industry.
Round-Up Accounts
Save with RaizInvest when you spend. In fact, such accounts are an easy way to dip your toe into investment that is sustainable, with a positive impact.
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