Trends in Ethical Investing
The criteria used in negative or positive socially responsible
investment strategies tend to reflect current social and environmental
concerns, and their profile has therefore changed over time, from
concerns about nuclear weapons and South African apartheid in the 1970s
and 1980s, to a more recent focus on non-discriminatory employment
practices, concerns over global warming and an increasingly important
emphasis on activities promoting sustainable development. It has been
predicted that key themes for socially responsible investment in 2006
will include alternative energy sources, reducing carbon dioxide
emissions, and healthcare.
The nature of socially responsible investing has also changed over time,
with a trend towards socially responsible shareholders being more
involved in the management of the companies they invest in, and a
growing expectation that socially responsible companies and ethical
mutual funds will contribute to and support community initiatives.
Recently, corporations and international organizations have been
pro-active in driving the growth of socially responsible investment.
A number of the biggest and best known corporations in the USA and
Canada, including Ford and Rockefeller, have formed a Funders Network
for Smart Growth and Liveable Communities, with the specific purpose of
identifying ways in which their portfolios can best be invested in real
estate projects which are consistent with social and ethical values,
while promoting sustainable development (Pensions Management,
3/1/2005). Similarly, the United Nations has implemented an
international project involving 15 of the world's largest investment
companies, to develop a set of responsible investment guidelines.
The extraordinary growth in this sector of the investment market as
compared with other types of investments is indicative of the high
level of investor confidence in socially responsible investments, as
well as the increasingly widespread conviction that personal financial
planning can be consistent with supporting worthy causes.
On the whole, socially responsible investments have been shown to
perform just as well, if not better, than more traditional forms of
investment, a pattern which has been sustained over time.
Click Here to Translate This Page
Cliquez ICI Pour Traduire Cette Page
To Tell A Friend
About This Site
CLICK HERE !
Please Email Us