Women with a personal income of $200,000 or more, or those in a household with income of $400,000 or more, have specific interest in companies that are socially responsible.
In general, women are more likely to invest in companies that make a clear statement regarding the social responsibility of the firm. However, high income women have unique opinions regarding the social responsibility of their investments and companies who tout socially responsible investments.
Spectrem’s e-zine High Income Women Investors examines investment strategies, attitudes and concerns of single women with an income of $200,000 or more and married women with a household income of $400,000 or more. The study compares their answers to questions about investments against the opinions of all other affluent investors.
Only 15 percent of high income women say they give no thought to the social responsibility of investments, compared to 40 percent of all other affluent investors. However, what they think about socially responsible investing is unique to that demographic.
Almost half of high income women (46 percent) do take social responsibility of investments into consideration when they make decisions related to their portfolio. That is much more than the 34 percent of all other affluent investors who do so.
However, 46 percent of high income women also think corporations should do all they can to generate a profit and let individuals use their investment returns for providing social change or investing directly in socially responsible organizations. The study does not say those two groups are mutually exclusive.
Only 27 percent of all other affluent investors agree that corporations should only be concerned with generating a profit.
The problem with socially responsible investing is knowing the invested funds are indeed going to organizations that provide assistance to groups that need it. A significantly high percentage of high income women - 77 percent – think most companies promoting “social responsibility” in their corporate behavior are doing so only for public relations without any real commitment to social concerns. Only 44 percent of all other affluent investors have that jaded point of view.
A Millionaire Corner survey of affluent investors with a net worth of $100,000 or more found that only 65 percent of investors knew what socially responsible investing meant. Of those that did know the meaning, 85 percent considered companies that are environmentally friendly are included, while 60 percent said investing in companies not involved in the production of tobacco is an example of socially responsible investing.
Similarly, 70 percent said socially responsible investing meant staying away from companies that manufacture products in countries where human rights are violated.
Kent McDill is a staff writer for Millionaire Corner. McDill spent 30 years as a sports writer, working for United Press International and the Daily Herald of Arlington Heights, Ill. From 1988-1999, he covered the Chicago Bulls for the Daily Herald, traveling with them every day through the nine-month season. He also covered the Bulls for UPI from 1985-88, and currently covers the team for www.nba.com. He has written two books on the Bulls, including the new title “100 Things Bulls Fans Should Know And Do Before They Die’, published by Triumph Books. In August 2013, his new book “100 Things Bears Fans Should Know And Do Before They Die” gets published.
In 2008, he resigned from the Herald and became a freelance writer. The Herald hired him to write business features and speeches for the Daily Herald Business Conferences and Awards presentations.
McDill also writes a monthly parenting column for the Herald’s Suburban Parent magazine.
McDill is the father of four children, and an active fan of soccer, Jimmy Buffett and all things Disney.