DOING something positive with their cash is becoming more important to investors, according to a new report.

Understanding the Positive Investor, published by Cowley Road-based investment platform Ethex, showed more than half of those able to invest are keen to buy or have already bought, shares in companies which do social or environmental good.

Although it found under-40s were most strongly motivated to invest positively and have the highest belief in its impact, the bulk of actual investors tended to be older and wealthier.

The research also showed people wanted their savings to improve health and social care and to go towards supporting older residents in their local area.

Ethex’s site, ethex.org.uk, lists social businesses in which it is possible to buy shares.

Since launching in January 2013, Ethex has raised almost £50m from investors who want to put their money into something that matches their personal values.

An example is Low Carbon Hub’s Sandford Hydro project, which closed its share offer on Friday after raising more than £620,000

It smashed through its £380,000 target and attracted almost 250 investors to finance the hydro at Lasher Weir, between Sandford and Kennington, on the Thames.

It will generate 1,600 MWh a year of electricity which could power more than 450 homes.

Adriano Figueiredo, operations director of Low Carbon Hub and Sandford Hydro, says he was “nicely surprised” by the response.

He explained: “One thing we notice is that a good majority of our backers want to make sure that their money is invested in something positive, which is the whole ethos of Ethex.

“I think people are becoming more aware of this type of project.”

He says Oxford, with its highly-educated population, is particularly suited for this type of investing.

Also, with interest rates at historically low levels, return rates of up to six per cent from some firms listed on Ethex are more attractive.

Mr Figueiredo added: “If you leave your money in a savings account you are getting pretty much nothing back.

“At the same time, people have a strong desire to make a personal contribution.

“It may be quite small, maybe just £250, but they want to feel that their money is contributing to something much bigger.”

Lisa Ashford, director and chief executive of Ethex, said: “Consumers are increasingly looking to buy and use products that align with their personal values and it is no different when it comes to savings and investment.

“People are also waking up to the fact that it is possible to use their personal wealth to both make money and benefit society.”