You are hereBasics of Responsible Investing: The Grid

Basics of Responsible Investing: The Grid


Socially Responsible Investing is concerned with three areas:

  • Environment
  • Social Justice
  • Corporate Governance

There are three investor activities associated Responsible Investing:

  • Screen-out bad companies, Screen-in good companies when buying securities.
  • Shareholder Action - vote your proxy (stockholders usually have a vote in corporate decision making).
  • Community Investment - you can lend your money AND get paid interest AND get paid back AND help the world.

The graphic below represents the realm of Responsible Investing showing the areas of concern across the top (Environment, Social Justice, Corporate Governance) and the activities involved down the left side (Screening, Shareholder Action, Community Investment). Basically, what you can do as a Responsible Investor down the side, where you can do it across the top.

At the intersection of each we have presented examples of Responsible Investing. This should help you understand the context and actions you can take in your responsible investment decisions.