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Ethical preference

As explained in Investing for Programmers

An ethical preference is an investor's value-based criterion for accepting or rejecting investments.

An ethical preference is a value-based criterion for accepting or rejecting investments. It makes personal concerns part of portfolio decisions rather than treating them as separate from financial strategy. section 8.4.1

Investors can use ethical preferences to:

  • Exclude companies or assets that conflict with their religious, ethical, or political views. section 8.4.1
  • State concerns such as climate change, abortion laws, animal rights, or politics when describing an investment strategy. section 8.4.1
  • Include preferences directly in prompts used to shape portfolio recommendations. section 8.4.1

Prompt constraint

An investor who feels uncomfortable supporting companies misaligned with their values can state those values explicitly and request that conflicting investments be excluded. section 8.4.1

How Investing for Programmers covers it

How deep it goes
Defines preference-based exclusions and gives value examples, but stops short of ranking investments or measuring ethical impact.
Examples
Uses climate change, politics, abortion laws, animal rights, religion, and cryptocurrency exclusions as preference examples.
What you can do after
Apply it by stating personal values and unacceptable investments in an investment-planning prompt.
How it connects
Connects ethical preference to investor profiles, portfolio strategy, asset selection, and investment exclusions.
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