Socially Responsible Investing

Socially Responsible Investing (SRI), also referred to as Sustainable or Ethical Investing, is receiving considerable investor attention. It is a great way to “make a difference” in both the world and your portfolio. The best of the SRI funds are very good indeed, outperforming the majority of their less altruistic counterparts. Making money and making a difference do not have to be mutually exclusive. SRI has never been more popular or, perhaps, more important.

There are many types of investment funds addressing a variety of causes that you may appeal to you and your family. Nearly all such funds screen out companies involved with alcohol, tobacco and weapons. For the environmentally minded, there are funds that specialize in alternative energy and the environment.

I suggest that my clients consider putting at least a portion of their money where their morals are. It costs nothing extra to incorporate these consistently excellent and socially responsible funds into your portfolio. Given their strong returns, this is a powerful way to align your values with your investing in a way that the business world respects.