ABSTRACT
This chapter presents the emergence of the Socially Responsible Investment (SRI) discipline, which is a growing market in the financial industry. The goal of SRI is to combine financial investments with social responsibility to create long-term competitive returns that simultaneously have a positive socio-economic impact. Specific Environmental, Social and Governance (ESG) criteria for environmental, social and corporate governance reflect SRI’s investment focus. This chapter provides an overview of the historical development of SRI. This chapter outlines basic sustainable investment strategies and tools within SRI and how important organizations within SRI have developed acceptance of SRI. Finally, criticism and challenges are discussed with SRI.
