In a world filled with ongoing social and environmental challenges, it makes sense that today’s investors want more than monetary gains on their investments. Many are choosing to invest in Socially Responsible Investing (SRI), where money investments reflect personal, political and societal views.
This concept has been around for a long time, but over the last two years, SRI investing has grown by more than 22%, according to the US SIF Foundation’s Report on Sustainable and Responsible Investing Trends in the United States. This trend indicates investors are using their hearts as well as their heads when making investment decisions, hoping that their investment focus will make a positive impact in our world.
This investment discipline (SRI) considers environmental, social and corporate governance (ESG) criteria to generate financial returns that promote positive societal impact. When measuring certain criteria in Sustainable and Responsible Investing, two types of screens are used — positive and negative.
Positive screens help identify companies that engage in environmental sustainability, alternative energy, excellent employee relations, etc. Negative screens exclude industries that may have a harmful effect on society such as pollution, poor working condition, gambling, selling addictive substances, etc.
If you wish to learn more about Socially Responsible Investing and ESG, take some time to research these concepts or read literature such as Socially Responsible Investing: Making a Difference and Making Money or “Socially Responsible Investing for Dummies”. Be sure and consult with your financial advisors for help finding companies that fit your moral compass and financial future. Answers from AZ
No Individual should assume that any information presented or made available on or through this website should be construed as personalized financial planning or investment advice. Personalized financial planning and investment advice can only be rendered after engagement of the firm for services, execution of the required documentation, and receipt of required disclosures. Please contact the firm for further information.
“Ranking and/or recognition by unaffiliated ratings services and/or publications should not be construed by a client or prospective client as a guarantee that he/she will experience a certain level of results if the firm is engaged, or continues to be engaged, to provide investment advisory services, nor should it be construed as a current or past endorsement of the firm by any of its clients. Rankings published by magazines, and others, generally base their selections exclusively on information voluntarily submitted, prepared and submitted by the recognized adviser.”
“Zuraw Financial Advisors, LLC (“Zuraw”) does not recommend and/or endorse advertising linked to Zuraw’s website or blog posts (WomenMoneyandDivorce.com or ChicksChatandChange.com). Nor does Zuraw make any representations or warranties as to the accuracy, timeliness, suitability, completeness, or relevance of any information prepared by any unaffiliated third party, whether linked to the Zuraw website or incorporated herein and takes no responsibility, therefore. All such information is provided solely for convenience purposes only and all users thereof should be guided accordingly. Zuraw may receive compensation from third parties to advertise on the firm’s website and blogs. Zuraw does not share client’s personal information with any third parties, either affiliated or non-affiliated with Zuraw.”