3/25/2012

SRI development in Asia

Recently, corporate social responsibility (CSR) programme as much importance seems core value in order to make the social quality a better. This concern not only enterprises in their commercial operations to cope with the responsibility of his interest, but also let society and attention to the ethical enterprise of coexistence and common prosperity.

In westerns, numerous of case show us the CSR deeply affected commitment and ethics, to contribute to the economic development. For instants, Pharmaceutical giant Novartis are now put a lot of effort to provide health plans for the world's poor, even lost so long. Today, in the 21st century, the world has known in the past and today's poorest people the suffering of all. Surely, Novartis don't ask material return, only help to needy communities, sponsorship and so on. And through donations of money, assets or activities to donated by medicine to the needs of people.

Eye on Asia, in March 2011, Japan suffered an earthquake and tsunami tragedy. Fukushima after the nuclear disaster, more investors are expected to take into account environmental, social and governance standards, enterprises will be more closely focused on how they communicate with shareholders. Time shifted to 1999, Japan's social responsibility investments can be traced back the first public offering socially responsible investment (SRI) mutual fund was established. Japan is the most developed SRI market in Asia. This type of investment is a special type of investment approach, investors are interested in not only the traditional monetary returns, also taking into account the social justice and economic development, world peace and environmental protection. Then established a lot of similar investment funds, grasp the characteristics of public environmental awareness is growing. Other Asian institutional investors generally responsible investing as a strategy in Europe and America, so they focus on their own responsibility whether the investment targets are consistent with their obligations. As part of the study makes it clear that responsible investment in the long run will achieve better performance or limited study on downward trend, most Asian investors are encouraged to focus on non-performance of SRI portfolio.

SRI funds continue to grow is the continuous improvement of management skills, and more efficient research tools such as the innovation of environmental protection rating service. SRI in the past can only passively filtering company, avoid unacceptable companies on investment policies and such investigations are carried out by external consultants. Initially, fund managers only use single method to select acceptable according to survey company by views on the industry or market nature. In recent years, a new generation of fund managers willing combining their past knowledge of sustainable development and on the former boundary to has a comprehensive view of the market, this advance concern of the more powerful SRI has also been said, more in-depth attention to social factors are, better portfolio profits.

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