You can invest in a variety of investment vehicles that dedicate their investment mandate to socially responsible companies and sectors which include investment vehicles like mutual funds, ETFs, and separately managed accounts. However, socially responsible investing is not as black and white as it seems. Because investors uphold different values and standards on what constitutes as “socially responsible”, caution is warranted on investment companies that “greenwash” their portfolios simply as a strategy to gather assets. Additionally, investors who are looking for a more precise allocation to companies that closely align with their values and beliefs should look into investing in a portfolio of individual stocks through a separate managed account structure instead of pooled investments like mutual funds and ETFs to gain the most customization. Finally, all investment managers should consider the additional benefit to their portfolios when including environmental, social, and governance (ESG) risk factors in their portfolio evaluation. These risk factors are part of the evaluation process of socially responsible investing. At The Tranel Financial Group, all of our portfolios are evaluated with an ESG overlay to account for societal specific risks. We encourage you to reach out to learn more about how you can create your very own customized socially responsible portfolio that aligns with your values and beliefs.