The 'Nicer Isa' allows customers to invest between £200 and £7,000 each year in any one of five Allchurches investment funds. A donation of 0.25 per cent of the investor's savings, paid out of the management charges, is given to charity annually.
Investors can choose from eight charity recipients: the Vascular Society, Church Housing Trust, Knowles Tooth Centre, Barnardo's, the National Meningitis Trust, Relate, the Wildfowl and Wetlands Trust and the Children's Society.
The Nicer Isa was originally launched in the 1990s, but was available only to customers of Ecclesiastical, the financial services company of which Allchurches is a subsidiary.
Ecclesiastical now aims to offer it to investors with financial advisers who are seeking a more ethical option.
Chris Clark, head of business development at Ecclesiastical, said: "We wanted to give a wider range of customers the chance to donate some of their savings to causes we have chosen."
But Stephen Hine, head of international relations at ethical investment analyst Eiris, said the charity donation did not necessarily make the Nicer Isa an ethical investment option.
Hine said: "Some may not view a fund that does not have any ethical criteria attached to stock selection to be truly ethical."