The short article and corresponding graphics in the url below provide some interesting statistics regarding the recent performance of Socially Responsible Investment mutual funds (Issues: Investing, p184):
“Socially responsible investing, such as avoiding tobacco, defense, or other stocks for ethical reasons, is increasing in popularity among individual investors. The assets of these funds hit $202 billion in 2007. In the recent downturn, their returns have declined less than the broader market's.”
It is interesting in the ‘Activism vs. the Market’ graph (the last one) that, while SRI funds did not perform as well as the S&P 500 in a rising market (3-5 years ago), they have held their value better than the S&P 500 in the more recent declining market. Such lower volatility is something that should appeal to investors and, perhaps, indicates more fundamentally sound organizational management.
Take care
Dave
Bill Werther & David Chandler
Strategic Corporate Social Responsibility
© Sage Publications, 2006
DO-GOOD INVESTMENTS ARE HOLDING UP BETTER
By Tara Kalwarski
183 words
14 July 2008
BusinessWeek
15
Volume 4092
http://images.businessweek.com/ss/08/07/0703_numbers/index.htm
