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Socially responsible investing means considering other factors besides financial returns when deciding what to invest in. Find out which factors to look at.
Socially responsible investing (SRI) is a strategy that looks beyond the financial returns of portfolios to the environmental, social, governmental and ethical impact of investing. Financial returns are important, but SRI investors often make their investment decisions based on negative screening, where they eliminate investments that don’t resonate with their values or positive investing, where there is a deliberate choice to invest in companies that align with their values.
Example: “I’m focused on SRI investments that have a low impact on the environment.”
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