Sovereign wealth funds, eager to be accepted in the West, are increasingly keen on “socially responsible” or ethical investing, which could generate big flows into a sector that has so far failed to give convincing returns. Socially responsible investing (SRI) involves buying shares in companies that manage environmental, social and governance (ESG) risks. For example, firms which make clean technologies are favoured, while businesses which pollute environment, abuse human rights or produce nuclear arms are shunned. More…

Source: Reuters