Since the inception of the stock market, investors have always had one clear goal in mind: earn a return on their investment. This is by no means a bad thing – investors want the company they’ve invested in to perform well and earn a profit. Of course, the company generating profit would likely result in the investor netting a profit for themselves too. This notion is still alive and well today – the market is booming, and younger investors have been joining the market in droves due to recent volatile events. However, since the 1960’s another type of investment has risen in popularity among newer generations of investors called Socially Responsible Investing. For all intents and purposes, SRI involves the same exact investment process as ‘normal’ investing but with one major difference: the investor is actually invested in a company’s mission AND the ethics surrounding how they achieve said goals. This article will explore each facet of SRI in order to inform anyone reading what SRI is and how it came around, what companies have SRI policies and why they’ve chosen to do so, what the future of SRI looks like, and several other aspects.
What you will learn
1.Understand what is Socially Responsible Investing
2.Identify the difference between SRI and Impact Investing
3.Analyze why company should choose to be socially responsible
4.Understand the future of SRI