Socially conscious /ethical investing
Ahead of the Crisis
Social conscious investing did will in 2008.
Amy O'Brien, part of the social and community investing department at TIAA-CREF, says that Social Choice Equity screens financial-services companies based on factors that include corporate governance, predatory-lending practices, transparency and executive pay.
"The themes that underpin the current crisis are themes that the socially responsible investing community and corporate-governance people have been talking about for a number of years," Ms. O'Brien says.
Matt Zuck, part of a five-person management team of AHA Socially Responsible Equity Fund, says that while screens can sift out some bad stocks, the discipline of tighter screening requires a manager to dig deeper. "It forces you to ask more questions about a company. It's valuable as an analytical tool," he says.
See also Vice stocks down in recession.
WSJ MARKETWATCH
NOVEMBER 2, 2008
Doing Good, and Not So Badly
By SAM MAMUDI