Socially Responsible Mutual Funds

  title={Socially Responsible Mutual Funds},
  author={Eddy Junarsin and Enrico Libert},
Conversations about socially responsible investing are difficult because they combine facts with beliefs. Proponents of socially responsible investing believe that combining social goals with investments does good; opponents believe that such combinations are unwise or even illegitimate. In this article, I try to separate facts from beliefs. I report that the Domini Social Index, an index of socially responsible stocks, did better than the S&P 500 Index and that socially responsible mutual… Expand

Figures and Tables from this paper

Socially Responsible Mutual Funds – A Profitable Way of Investing
Abstract In the presented paper there is analyzed the idea, essence and strategies of socially reponsible investing, there is also made a review of socially responsible mutual fund market worldwideExpand
Socially responsible investing in hedge funds
Socially responsible investing (SRI) has gained popularity in recent years, but the evidence is mixed as to whether SRI affects investor returns. We employ several empirical methods to determine theExpand
Socially Responsible Investment Fund Performance: The Impact of Social Screens and Intensity
Up to now, socially responsible investment (SRI) research has shed little light on the relationship between social screening and the performance of SRI mutual funds. This study aims to provide a moreExpand
Are European Socially Responsible Mutual Funds Rewarding and Profitable?
The last two decades have shown us the growing importance of corporate, social and governance programs, as executives, investors and regulators have become increasingly aware of these programs’Expand
Social Preferences of Investors and Sustainable Investing
I study portfolio sustainability and capital flow dynamics in socially responsible and conventional mutual funds. I document that a large fraction of conventional funds systematically investsExpand
Investing Peacefully: A Global Overview of Socially Responsible Investing
The term ‘Socially responsible investing (SRI)’ has become increasingly popular since the 1980s. It’s becoming one of the trendiest investment approaches in the world especially after the financialExpand
Go Green with Socially Responsible Investing? Socially Responsible Investing Performance During the Financial Crisis
This paper studies the performance of socially responsible investing (SRI) mutual funds, especially during the financial crisis. The findings show that SRI funds earn worse crisis-period returns thanExpand
Performance of Socially Responsible Mutual Funds
This study examines the performance of socially responsible mutual funds from 1999 to 2009. To minimize the benchmark error, we apply propensity-score-matching method to identify a most comparableExpand
Fund Performance and Social Responsibility: New Evidence using Social Active Share and Social Tracking Error
Using a sample of 2516 U.S. mutual funds over the period 2010-2017, we examine the effects of socially responsible investing (SRI) on mutual fund performance. We use two proxies of deviation fromExpand
A Morality Tale of ESG: Assessing Socially Responsible Investing
A review of academic literature suggests a lack of consensus on positive and negative abnormal returns associated with socially responsible investing/environmental, social, and governance (SRI/ESG)Expand


Social Responsibility and Institutional Investment
Traditional research pertaining to the social screening of portfolio firms has rarely gone beyond a description of its conceptual underpinnings. This empirical investigation looks at the real-lifeExpand
The Emergence of a New Era in Mutual Fund Investing
he idea of integrating one’s concerns about social issues with one’s investing decisions, whether out of religious beliefs T or political convictions, has always been popular with a core group ofExpand
Is There a Cost to Being Socially Responsible in Investing
In this study we address three questions concerning socially responsible investing. First, is the average return of a socially screened equity universe statistically different from the average returnExpand
Socially Responsible Investing
The author tests two value strategies on the Domini Social Index (DSI) as Compustat return data. He finds that a rebalancing strategy of ranking DSI stocks by valuation each quarter yields an 18.9%Expand
The Effect of Socially Activist Investment Policies on the Financial Markets: Evidence from the South African Boycott
Governments and vocal institutional shareholders have been exerting pressure on companies they deem to have objectionable operations (such as tobacco or chemical producers). This paper studies theExpand
A Special‐Purpose Taxonomy of Corporate Social Performance Concepts
The first iteration of a nonstatic special‐purpose taxonomy of corporate social performance concepts is developed from a mailed, self‐administered survey completed by managers of U.S. sociallyExpand
Behaviorial Finance: Past Battles and Future Engagements
Market efficiency is at the center of the battle of standard finance versus behavioral finance versus investment professionals. But the battle is not joined because the term “market efficiency” hasExpand
Mutual fund investors are subjected to many fees and expenses related to both the management of the fund assets and the sale and distribution of the fund's shares. In recent years these expenses haveExpand
Risk Reduction and Portfolio Size: An Analytical Solution
The relationship between the risk of a portfolio and the number of securities in that portfolio has been of interest to economists for a number of years. In fact, discussion of this problem datesExpand
Socially Responsible Investing and Asset Allocation
The returns of portfolios are compared to a traditional investment vehicle using several methods of asset allocation. The strategies are examined in the context of investor regret and it isExpand