Columbia Sustainable & Responsible Investments Client Preferences Discussion


Business Finance

Columbia University

Question Description

Sustainable and Responsible Investments

Throughout the course Sustainable and Responsible Investments, we focused on three main learning goals:

  1. 1) Understand what motivates investors to participate in responsible investments.
  2. 2) Learn how to define and measure social and environmental impact of responsible investments and charities.
  3. 3) Learn how to develop a responsible investment product and position this in the market.

The third learning goal has already been assessed by the Case Competition (45% of the grade). We will therefore now focus on the other two learning goals for this assignment.

Your role

Prepare a single-authored paper in which you address a topic related to the two learning goals of the course not yet assessed by the case competition. You can choose any of the following three paper topics:

1. Client preferences

How can financial institutions proceed in measuring their clients' preferences for sustainable investments and how should they act on those?

2. Effective donations

What could be effective interventions to encourage donors to give to more effective causes?

3. Impact with sustainable finance

Which steps could be taken in the financial industry to increase the social impact of sustainable finance?

Paper requirements

The paper should be 5 pages in Arial 12 font. This means that you have to be concise in your writing. Focus on the following:

  • Clearly define your proposed solution.
  • Why is the problem you tackle important?
  • Why is your proposed solution original?
  • Why is it feasible?
  • Relate your proposal to literature discussed in the course.
  • Relate your proposal to other scientific and practical evidence.
  • Conclude with the main limitations, scientific contribution and practical take- aways.
  • Provide a reference list according to APA style (does not count in the 5 pages) Front page of your paper (this does not count in the 5 pages
  • - Mention the topic you chose o Client preferences o Effective donations o Impact with sustainable finance
  • - Provide a good title
  • - Write an abstract of maximum 200 words
  • - Provide max 5 keywords Assessment Your final grade will be based on the following criteria: Originality (25%)
    Feasibility (20%)
    Academic Rigor (45%) Writing style (10%)

Student has agreed that all tutoring, explanations, and answers provided by the tutor will be used to help in the learning process and in accordance with Studypool's honor code & terms of service.

Explanation & Answer



Sustainable and Responsible Investments
Insert Name
University Affiliation





Sustainable and responsible investment considers social, environmental and
corporate governance criteria in the bid to generate positive societal impacts and long
term competitive financial returns. There are numerous motivations for sustainable and
responsible investing that include the demands of the client, personal goals and values,
and constituents or plan participants. Most investors involved in sustainable and
responsible investment aim for strong financial performance while at the same time
believe that their investments should be used to augment advancements in
environmental, social and governance practices. Based on their preferences, investors
actively seek out investments for instance clean tech portfolios, and community
development loan funds that are likely to offer vital environmental or societal benefits.

Keywords: Portfolio, Risk, sustainable, metrics, investments



Client preferences

Socially responsible investment is defined as the practice of integrating
environmental and social environment goals into investment decisions. As a strategy,
SRI encourages corporate practices that augment laudable initiatives and social
responsibility, for instance, stakeholder advocacy, impact investing, and community
investing. Socially Responsible Investments are growing in finance and economic
significance as depicted by their rising volume in the United States and Europe. In the
US, about one in nine dollars of assets which are managed professionally is part of SRI.
Such investments are a mystery, especially when finance is involved as they often
diverge from the market where they exclude potentially high return “sin’ organizations
from their portfolio or concentrating on organizations with high scores with respect to the
environment. The premise behind SRI is to consider responsible investments and
financial return for societal development. Some of its key goals include human rights,
labor relations, environmental issues, and community involvement.
While it is enticing for one to assume that strong pro-social preferen...

Cebsrffbe_Erl (20327)
University of Maryland

Excellent! Definitely coming back for more study materials.

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