Social investment strategies

Panapanaan and Linnanen (2009) suggest that a successful social investment strategy should consider employees, suppliers, the community, and customers. They assert that a social risk assessment should be conducted to determine the organizational vulnerabilities, which in turn form the focus of the strategy. From an employee perspective, the social risk assessment should consider the following points of potential vulnerability diversity, discrimination, freedom of association, child labor, forced labor, absenteeism, compensation, and flexibility. 

In a paper " published in May 2008, Christoph Butz and Olivier Pictet argue that Financial performance is not a sufficient condition for the success of an SRI investment strategy. Social investors objectives are not one-dimensional but multi-dimensional. Their utility function also explicitly includes a social and an environmental performance dimension. Hence the need for a credible and transparent extra-financial reporting. They present in their paper how such extra-financial reporting might look and show that the companies in the sustainable portfolio emit less CO2 and create more jobs than their peers and thus provide the sustainable investor with a measurable social and environmental added value . 

ST strategy combination introduce capital investment in technology, will be incorporated into the social benefits of accounting... 

According to the Lisbon Strategy, (a development plan put forward by the European Council in 2000), Europe aims to become the most competitive and dynamic knowledge-based economy in the world by 2010, capable of sustainable economic growth with more and better jobs and greater social cohesion [2]. This plan was further stressed through the Barcelona objective in 2002, which stated that 3% of GDP [Gross Domestic Product] should be spent on research and development by 2010. Two thirds of this investment was to come from business, with the bulk of... 

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