Apologies if this post doesn’t fit well here, this has a personal element but is ultimately a moral and political discussion.
Personal context:
I’ve lived with no/low income as a disabled person my whole adult life with no end in sight. I try to follow best personal finance practices to try and ensure my survival as I can’t simply look to make more money. As I understand it, the advice I’ve read would be to begin investing (commonly in equity ETFs) once you have saved enough of an emergency fund and are ready to put away assets for the long-term. Due to a unique situation, I might manage to save enough money to begin investing before I go back to living paycheck to paycheck.
Concerns:
A) Is it unethical? On one hand, I’d be investing into truly evil companies. On the other, there’s no ethical survival under captialism and my minuscule investment won’t make or break a megacorps’ ability to do evil shit. Taking a silent stand won’t have an impact and I may just be hurting my own personal finances in the process. In turn, that ironically may make it harder for me to safely save and spend money on things like community organizing.
B) Isn’t it contradictory and unsafe? Investing in equities means I'd be betting on continued “growth” for decades to come. This is the system I’d be working to dismantle and investing in it would be like I’m betting against myself. Considering the impending climate crisis and foreseeable global instability, investing in equities feels like more of a gamble and less of a sound financial decision, but I’m not sure what that means for how I should manage my finances.
A) As the previous commenter said, if you buy ETF shares from someone who is selling them, you are not financially supporting the corporation. Only buying their IPO would do that. These corporations will succeed or fail, do evil shit or do not-so-evil shit, based on supply and demand (and subsidies, and lobbying...), not based on whether you personally own shares in them.
B) You can't predict the future. Common sense says that equities' historical growth cannot continue forever. It's up to you to decide whether the risk of equity investing makes sense for your personal situation and investment time horizon. Diversifying your investments across asset classes (equities, bonds, precious metals, CDs, fruit trees, real estate...) is probably the most assured way to reduce volatility, and it may or may not result in higher risk-adjusted returns, but this probably won't translate to higher gross returns compared to investing in equities alone (unless the stock market crashes while you are still invested and never recovers).
Probably the strongest case for investing in equities would be: If you expect the next stock market crash to be accompanied by the end of the monetary system as we know it, then any cash that you currently have lying around will become worthless at that point whether you invest it in equities or not. (So you might as well invest it and make some money while you can.)
Probably the strongest case for NOT investing in equities would be the facts that the growth in equities cannot continue indefinitely and that investing any extra money in tangible assets (e.g. land to grow your own food, solar panels and batteries, or other infrastructure that contributes to your independence from the system while reducing your ongoing expenses) is of real benefit to you regardless of what the stock market does.
Source: I grow fruit trees. You'd be surprised at how many parallels there are to financial investments. (Pro tip: the risk-free rate of return is the banana yield that a given area of land could produce.)