Coming out of the investor's cave? Making sense of responsible investing in Europe in the new millennium
- Published in Business & Professionals Ethics Journal
- Sustainable & Impact Investing
Responsible Investing is on the rise. In ten years time, what started as an ideologically motivated practice by often religiously inspired investors has become a mainstream activity. Through the Principles for Responsible Investing a large group of institutional investors representing tens of trillions of dollars have become involved in and transformed the practice. A major change refers to a change in definition and the disappearance of ethics, which was replaced by a focus on governance. However, society is not taking unethical investments practices lightly. It increasingly confronts investors with potential (ethical) consequences of the investments and calls for impact measurement: what is the social, ethical and environmental impact of the investments?