News and Information
Social Responsible Investing
Tuesday, August 2017
Socially Responsible Investing (SRI) is a growing focus for investors but with numerous definitions and results. Many investors are increasingly attempting to align their investment strategies with their social values.
Institutional investors, have been investing in the segment as well. Today small investors can participate in this segment and the world can be changed if the investing public was to participate more.
No definitions of socially responsible investing are alike, and every investor will have a unique perception of what SRI means to them. Investors can choose to pursue mission investing, green investing, and impact investing among many others. SRI has evolved to proactive investments in everything from clean energy companies to women and minority led businesses. Some investors prioritize environmental impact, pursuing divestment from fossil fuels, while others place a greater emphasis on corporate governance and socially economic impact.
It is important for SRI investors to target an appropriate level of risk to achieve their investment goals and to remain diversified across investments. SRI does not have to mean subpar returns but one must compare apples to apples and be willing to adjust based on belief and commitment.
Todd Millay, Contributing Writer Forbes