Abstract
We use a large administrative panel data set to study which characteristics are related to households' investments in socially responsible investing (SRI) mutual funds. To isolate financial and non-financial preferences for SRI investments, we distinguish between two types of SRI funds; ESG and charitable funds. We also analyze to what extent affluence and age play a role in SRI. We find that participation in SRI funds is lower for young and retired investors. Moreover, we find that young adults are more often ESG investors, while retired investors are more likely to participate in charitable funds. Further, financial wealth is important for SRI participation but becomes less relevant once investors are sufficiently rich. For the exposure to SRI funds, the overall picture is quite different as it is negatively related to wealth, income, risky share, and education.
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
