Question

Many socially responsible funds are now available to investors who factor their values into their investment choices. For example, the Appleseed Fund avoids tobacco products, alcoholic beverages, gambling, weapons systems or pornography, The TIAA-CREF Social Choice Equity Premier Fund invests in companies that are “strong stewards of the environment,” devoted to serving local communities and committed to high labor standards. Are socially responsible funds attractive to you? Would it matter if they are less profitable than other alternatives? How much less profitable? Do you now, or will you in the future, use them in saving for your own retirement?

Answer 1

Facts of the case:

The present case deals to make ethical choice on the available social responsible funds by the investors.

 

The socially responsible funds are attractive for the people who want to invest in them to make ethical decisions. It should be the responsibility of the government and the citizens to control the social issues.

 

Adhering to social responsibility to control social issues would be expensive. If there are situations to curb the social issues, the people must invest their funds as the funds are useful for the betterment of the society. Thus, profit gaining should not be motto.

 

Retirement is a crucial period of any citizen to procure funds. They would look for the better options to invest. Thus, it would be good when funds are used for the better future of the society.