socially responsible fund

Definition

A mutual fund that only invests in companies that meet certain ethical and moral standards. Some examples include: funds that only invest in environmentally conscious companies ("green funds"), funds that invest in hospitals and health care centers, and funds that avoid investing in alcohol or tobacco companies. Socially responsible funds try to maximize returns while staying within these self-imposed boundaries.

Cite this definition



Related Articles from the InvestorGuide.com University

Stock Mutual Funds
Stock funds, also known as equity funds, can yield higher returns, but pose greater risks. Find out about growth funds, blend funds, sector funds, indexed funds, as well as funds defined by market capitalization and many others. Learn the differences between the different kinds, to find the best one for you before exposing yourself to risks.

Introduction to Mutual Funds
An explanation of mutual funds, with specific emphasis on advantages and disadvantages of this type of investment. If you were thinking of investing in a mutual fund, read this article!

Prospectuses, Annual Reports, and Other Documents
In order to evaluate a mutual fund, you should read its prospectus and annual report, which describe the fund's investment objective, strategy, fees and expenses, past performance, risks, and largest holdings. Click here to learn more about each of these topics.



Related Resources from InvestorGuide.com

Mutual Fund Research Tool
Use our research tool to find in-depth data about mutual fund quotes, news, data, and profile information. Click here to view our mutual fund list or enter a mutual fund ticker here:

   






Give this definition a rating from 1 to 5 (5 being the best)...
1    2    3    4    5    



Browse by Letter: # A B C D E F G H I J K L M N O P Q R S T U V W X Y Z
Add this Glossary to your Site | Bookmark InvestorWords.com
Home | Terms by Subject | Keyword Advertising | About Us | Contact Us
Work for InvestorWords.com
BusinessDictionary.com | InvestorGuide.com | WebFinanceInc.com
Disclaimer and Copyright©

Copyright©1997-2008 by WebFinance, Inc. All Rights Reserved.
Unauthorized duplication, in whole or in part, is strictly prohibited.