SRI (Socially Responsible Investing)
Selecting or excluding investments based on ethical or moral criteria.
Detailed Description
SRI (Socially Responsible Investing)
What is the main goal of Socially Responsible Investing (SRI)?
The main goal of SRI is to generate financial returns while considering social, ethical, and environmental impacts.
How did SRI originate historically?
SRI originated from religious and ethical considerations, with early examples like the Quakers avoiding investments in industries like alcohol and tobacco.
What are some common strategies used in SRI?
Common strategies in SRI include negative screening, positive screening, impact investing, shareholder advocacy, and thematic investing.
What are some benefits of engaging in SRI?
Benefits of SRI include alignment with personal values, better risk management, increased market demand for responsible investments, and contributing to societal improvements.
What challenges does SRI face in the investment landscape?
Challenges include performance concerns, lack of standardization, greenwashing, and limited investment options in certain markets.