Thursday, April 14, 2005

SRI Funds Vote Proxies More Conscientiously Than Conventional Funds on Corporate Governance

A study on proxy voting by socially responsible investment and conventional funds finds SRI funds voting against management more often on social, environmental, and governance issues.

The August 31, 2004 deadline for mutual funds to disclose their proxy voting records to investors via filings to the US Securities and Exchange Commission (SEC) has spawned a series of studies on mutual fund transparency and voting propensities. This week, the Social Investment Forum Foundation released the latest such report. The study proceeded from the hypothesis that socially responsible investing (SRI) funds excel in supporting social and environmental shareholder resolutions while conventional funds excel in supporting corporate governance resolutions.

See full Article.