Socially Responsible Investing
Some investors reach a point in their lives when money no longer matters that much. These investors are called corporate activists who use their investment funds to see changes they want in the firms they are investing in. The desired changes could be in the types of investments such as shifting from the oil industry to renewable energy due to environmental concerns. Management often has a hard time dealing with these investor types since they are viewed as intruding into a purely management function. But socially responsible investing is here to stay because shareholders are often on the losing end against management in the battle for control of their investments in the company and want to take that control back. A good example of this new attitude from investors is those coming from hedge funds who insist on certain management changes before they will invest. Other shareholders are often conscience stricken when they hear the companies they invested in are engaged in child labour or exploit workers in foreign countries with low wages in sweatshop factories.
The only constant thing is Changes.