Socially Responsible Investing
The recent news about Western companies setting up factories in poor Asian nations has caught the attention of some activist investors. These types of investors does not only care about the returns of their investments but also how those returns were made. They were appalled and shocked to learn most of the monster profits came from factories that employed child labour under sweatshop conditions. These very lowly-paid child workers were also denied the usual workers’ benefits. Socially-responsible investing means avoiding firms that employ unethical business practices such as paying below minimum wages in the countries where they operate. These investors stage a boycott of the products made by these unscrupulous firms. An investor usually wants to make his money in ways that are in line with his personal principles.
Socially Responsible Investing