U.S. Trust recently unveiled a new investment strategy called Socially Innovative Investing. The strategy focuses on identifying U.S. corporations with strong track records of human capital engagement, environmental stewardship and corporate philanthropy as well as performance.
“One myth of social investing is that, almost by definition, it underperforms the broad market — that investors have to sacrifice strong returns in order to support their values,” says Jason Baron, the portfolio manager and architect of the strategy. “To counter this misconception, using our proprietary social due diligence model, we comb the Standard & Poor’s 500 for equities and fixed income that not only meet social criteria but also have excellent fundamentals and the potential to create long-term value.” The strategy, in short, seeks good corporate citizens that are also strong companies.
“We track many gauges of social responsibility and investment performance over time and require our included companies to measure up in both regards,” Baron says. For more information on the Socially Innovative Investing strategy, please contact your U.S. Trust advisor.
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