Influential Article Review - Exploring SR Investments
Keywords:
Socially responsible investing, SRI, Investment decision, Investment choice, Investment behavior, Non-financial utility, Socially responsible investment, Ethical investmentAbstract
This paper examines investments. We present insights from a highly influential paper. Here are the highlights from this paper: This article examines the determinants of the optimal percentage that private investors seek to invest in a socially responsible (SR) way when forming their portfolio. By conducting a global online survey in English, German and French, we find indications that it is sufficient for the majority of investors to have a certain amount of their budget invested sustainably. Accordingly, the optimal proportion tends to be lower the higher the available investment volume is. In addition, the non-financial utility derived from SR investments appears to be independent of the form of financing the investor provides. Moreover, the results show that well-educated women and slightly younger persons seek to invest a higher percentage of their portfolio socially responsible. For our overseas readers, we then present the insights from this paper in Spanish, French, Portuguese, and German.