Comments on: Reader Question: Socially Responsible Investments? http://www.getrichslowly.org/blog/2006/05/03/reader-question-socially-responsible-investments/ personal finance that makes cents Sun, 08 Nov 2009 11:43:00 +0000 http://wordpress.org/?v=2.7.1 hourly 1 By: Which Investments Are Best for a Roth IRA? ? Get Rich Slowly http://www.getrichslowly.org/blog/2006/05/03/reader-question-socially-responsible-investments/#comment-90490 Which Investments Are Best for a Roth IRA? ? Get Rich Slowly Thu, 21 Jun 2007 16:01:15 +0000 http://www.getrichslowly.org/blog/2006/05/03/reader-question-socially-responsible-investments/#comment-90490 [...] mutual funds available in the United States alone. There are mutual funds for those interested in socially-responsible investments. There are mutual funds for those who like tech stocks. There are mutual funds based around [...] [...] mutual funds available in the United States alone. There are mutual funds for those interested in socially-responsible investments. There are mutual funds for those who like tech stocks. There are mutual funds based around [...]

]]> By: Reader Question: Cheap World Travel? ? Get Rich Slowly http://www.getrichslowly.org/blog/2006/05/03/reader-question-socially-responsible-investments/#comment-90237 Reader Question: Cheap World Travel? ? Get Rich Slowly Tue, 19 Jun 2007 21:18:58 +0000 http://www.getrichslowly.org/blog/2006/05/03/reader-question-socially-responsible-investments/#comment-90237 [...] I have no experience, so I handed the question off to a close friend (who previously shared tips on socially responsible investments). He [...] [...] I have no experience, so I handed the question off to a close friend (who previously shared tips on socially responsible investments). He [...]

]]> By: John http://www.getrichslowly.org/blog/2006/05/03/reader-question-socially-responsible-investments/#comment-84852 John Fri, 27 Apr 2007 20:28:26 +0000 http://www.getrichslowly.org/blog/2006/05/03/reader-question-socially-responsible-investments/#comment-84852 Interesting advice. I have heard another financial professional answer the same question a little differently. He was not a fan of such "socially responsible" funds, because he felt that you would be allowing others to determine for you what was socially responsible. They may have other ideas. His suggestion was to look around at what you use and buy already in your daily life, and consider investing in those companies. He figured that if you were buying their products, it was already a complacent acceptance of that company's social responsibility. This works ok for many reasons if you are investing in individual socks, though you would be missing out on the diversification offered by mutual funds. Also, if you goal is to promote social issues and responsibility in companies, then consider that if you own stock, you get to vote on (or bring up for a vote) some company policies. The stock holders have been the ones to often push companies on social issues through direct shareholder motions. Interesting advice. I have heard another financial professional answer the same question a little differently. He was not a fan of such “socially responsible” funds, because he felt that you would be allowing others to determine for you what was socially responsible. They may have other ideas.

His suggestion was to look around at what you use and buy already in your daily life, and consider investing in those companies. He figured that if you were buying their products, it was already a complacent acceptance of that company’s social responsibility.

This works ok for many reasons if you are investing in individual socks, though you would be missing out on the diversification offered by mutual funds.

Also, if you goal is to promote social issues and responsibility in companies, then consider that if you own stock, you get to vote on (or bring up for a vote) some company policies. The stock holders have been the ones to often push companies on social issues through direct shareholder motions.

]]> By: Get Rich Slowly » Federal Student Loan Consolidation Primer http://www.getrichslowly.org/blog/2006/05/03/reader-question-socially-responsible-investments/#comment-347 Get Rich Slowly » Federal Student Loan Consolidation Primer Fri, 09 Jun 2006 17:57:17 +0000 http://www.getrichslowly.org/blog/2006/05/03/reader-question-socially-responsible-investments/#comment-347 [...] Paul — who recently shared tips on socially responsible investments and on cheap world travel — is a financial aid counselor at the University of Oregon. He’s offered to share a presentation he’s been giving to students about loan consolidation. Recent grads who have unconsolidated federal student loans may also find this useful. [...] [...] Paul — who recently shared tips on socially responsible investments and on cheap world travel — is a financial aid counselor at the University of Oregon. He’s offered to share a presentation he’s been giving to students about loan consolidation. Recent grads who have unconsolidated federal student loans may also find this useful. [...]

]]> By: Get Rich Slowly » Socially Responsible Investing http://www.getrichslowly.org/blog/2006/05/03/reader-question-socially-responsible-investments/#comment-21 Get Rich Slowly » Socially Responsible Investing Mon, 08 May 2006 18:31:42 +0000 http://www.getrichslowly.org/blog/2006/05/03/reader-question-socially-responsible-investments/#comment-21 [...] Last week a reader asked about socially responsible investments. I recruited a friend to provide a brief overview of the subject. Now Money and Values has posted a terrific introduction that offers more information, as well as plenty of links for further exploration: Socially Responsible Investing, Part One and Socially Responsible Investing, Part Two. [...] [...] Last week a reader asked about socially responsible investments. I recruited a friend to provide a brief overview of the subject. Now Money and Values has posted a terrific introduction that offers more information, as well as plenty of links for further exploration: Socially Responsible Investing, Part One and Socially Responsible Investing, Part Two. [...]

]]> By: frykitty http://www.getrichslowly.org/blog/2006/05/03/reader-question-socially-responsible-investments/#comment-14 frykitty Thu, 04 May 2006 19:41:41 +0000 http://www.getrichslowly.org/blog/2006/05/03/reader-question-socially-responsible-investments/#comment-14 Thanks so much for the thoughtful answer. I've read briefly about REITs, and planned on looking into them more closely. While they are an attractive possibility, I wonder if they don't suffer from the same broken-system issue that stocks do; namely, businesses are driven to pay dividends in order to satisfy investors, and concern themselves with profit before all else. Thanks so much for the thoughtful answer. I’ve read briefly about REITs, and planned on looking into them more closely. While they are an attractive possibility, I wonder if they don’t suffer from the same broken-system issue that stocks do; namely, businesses are driven to pay dividends in order to satisfy investors, and concern themselves with profit before all else.

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