RT Journal Article
SR Electronic
T1 Corporate Social Responsibility: <em>Should I Invest for</em>
               <br/>
               <em>It or against It?</em>
JF The Journal of Investing
FD Institutional Investor Journals
SP 108
OP 117
DO 10.3905/joi.2011.20.3.108
VO 20
IS 3
A1 John Dravenstott
A1 Natalie Chieffe
YR 2011
UL https://pm-research.com/content/20/3/108.abstract
AB In this article, the authors compare the returns of a portfolio composed of socially responsible companies with those of a portfolio composed of companies without that distinction. They find that socially responsible companies perform worse than “irresponsible” companies. The reason for this seems to depend on the individual socially responsible investment (SRI) screens. Some screens have a positive impact on returns, some have a negative impact. Corporate governance is the only SRI screen with a positive relationship to returns: A positive rating helps returns, while a negative rating hurts returns. Most other screens show an inverse relationship: Companies with poor social responsibility have higher returns, or companies with good social responsibility have lower returns.TOPICS: ESG investing, technical analysis, style investing