Socially responsible investing movement is hot and there are no signs of it cooling off

KEY POINTS

• There is now more than $12 trillion invested in socially responsible ways. That’s 1 out of 4 of the total assets under management in the U.S.
• Nearly every S&P 500 firm now issues a sustainability report. Yet businesses are not celebrating their social impact — even though many have embraced corporate social responsibility practices.
• SRI is on the rise is because investors are realizing they can have a say in and align with an organization’s mission; not its profit, nor its numbers something much more than earnings: its purpose.

Socially responsible investing has exploded across the globe and interest in it has never been higher. But there is a real chance the business and financial communities will let slip opportunities to fully capitalize on the demand.

SRI assets are growing at nearly 40% year-over-year since 2016, according to the US SIF Foundation’s “Report on US Sustainable, Responsible and Impact Investing Trends.” There is now more than $12 trillion invested in a variety of socially responsible ways. That’s 1 out of 4 of the total assets under management in the U.S. alone.