Are Social Investors Influential?

Abstract:     
The SRI industry has been preoccupied with financial returns, and said little about its potential social or environmental "returns." Yet, ultimately this must be the most important yardstick with which to measure the importance and value of SRI. This paper assesses whether social investors who care about human rights or climate change, for example, can influence business. This article examines both capital market investment and bank-based lending. It considers a variety of legal, market and institutional issues that presently limit SRI's influence in improving corporate social or environmental performance.

Number of Pages in PDF File: 11

Keywords: Socially Responsible Investing, corporate engagement, SRI codes of conduct, ethics, SRI governance and public policy

Accepted Paper Series