About
the Social Investment Organization
Established
in 1989, the Social Investment Organization is a national
non-profit organization dedicated to the advancement of
socially responsible investment in Canada. It is funded
primarily from membership dues and is accountable to its
membership. The SIO has over 400 members across Canada,
representing:
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Socially-
and environmentally-screened mutual funds and their
staff
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Financial
institutions providing socially responsible investment
products or operating according to corporate social
responsibility principles
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Investment
advisors providing advice and assistance on socially
responsible investment
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Investment
managers managing socially responsible investment assets
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Institutions
investing according to socially responsible investment
guidelines
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Retail
investors investing according to socially responsible
investment guidelines
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Non-governmental
organizations and other groups with an interest in
responsible investment
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Our
members serve
more than half a million depositors and investors in Canada.
The
SIO is works to raise the public profile of socially
responsible investment; to reach out to other groups
interested in socially responsible investment; to provide
information to our members and the public and to take a
leadership role in coordinating the development of the
socially responsible investment agenda in Canada.
Socially
responsible investment is defined as the process of selecting
or managing investments according to social or environmental
criteria. As of June 2002, we estimate there was $51.4 billion
in socially responsible investment assets in Canada.
Socially
responsible investment includes three components:
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Positive
and negative screening.
This is the application of social and environmental
guidelines or “screens" to the investment
process. Negative screens usually include issues such as
tobacco and military production, companies operating
with sweatshop or child labour, or the manufacture of
alcohol or pornography. Examples of positive screens are
companies making a contribution to social, economic or
environmental sustainability or industries with
exemplary employee practices.
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Community
Investment. This
is the investment of money in community development or
micro-enterprise initiatives that contribute to the
growth and well-being of particular communities. The
idea is to reverse the drain of capital and income that
debilitate low-income communities.
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Shareholder
Advocacy. As
owners of publicly traded companies, either directly
through stocks or indirectly through mutual funds and
pension funds, investors can use their shareholder
influence to help bring about positive social and
environmental change within corporations. This can
include corporate engagement (communicating with
management on particular issues), filing shareholder
resolutions and using the threat of divestment to bring
about positive change.
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SIO
members believe that socially responsible investment
represents a catalyst for positive social change as well as a
useful investment tool to enhance returns and reduce risk by
incorporating social and environmental factors traditionally
excluded from portfolio management. 
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