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23. what is the significance of sri for individual investors? a. it onl…

Question

  1. what is the significance of sri for individual investors?

a. it only applies to institutional investors
b. it requires them to avoid all forms of equity investments
c. it forces them to invest in low - return assets
d. it allows them to align their investments with their ethical values and contribute to positive change

Explanation:

Brief Explanations

Socially - Responsible Investing (SRI) is about making investment decisions that consider not only financial returns but also social and environmental factors. It is not exclusive to institutional investors (so A is wrong). It doesn't require avoiding all equity investments (B is wrong) and also doesn't force investment in low - return assets (C is wrong). The core of SRI for individual investors is that they can use their investment dollars to support companies that align with their ethical beliefs (such as environmental sustainability, social justice etc.), which is what option D describes.

Answer:

D. It allows them to align their investments with their ethical values and contribute to positive change