Do SRI funds perform less well, when compared to diversified mutual funds?
Perhaps the greatest impediment to SRI historically has been the mistaken notion that social and financial performance, are mutually exclusive. Our belief and experience are, of course, to the contrary. At the core of social investing is the conviction that companies in fact prosper because they pursue sound financial practices and operate with integrity toward their employees, their communities, and the environment. As investment publications name social investment companies on their top ten lists, well have more evidence that its not necessary to sacrifice returns in support of social responsibility. I think well see more competitive performance and growing acknowledgment that SRI is mainstream investing over the next decade.1 The virtual landslide of revelations regarding accounting irregularities, lavish executive compensation, and lapses in corporate governance is of deep concern to investment advisors and social investors. Although Enron was the first to capture national attentio
