Despite the view that responsible investment compromises returns being frequently made by members of the traditional finance sector, there is little reliable evidence to back it up.

Some recent articles in the Australian media made reference to the September's Sensis Consumer Report, rightly noting that less than half of consumers were enthusiastic about the prospect of paying more for energy under the new emissions trading scheme.  This finding is hardly a surprise, given the straightened financial circumstances many Australian families find themselves in.

What WAS a surprise to myself and other readers was some journalist's extrapolation that this was in some way bad news for the responsible investment community.  No evidence was provided for this leap of logic, but one can only assume that it is based on the mistaken, but sadly commonly-held, view that responsible investment compromises returns.  Despite this statement being frequently made by members of the traditional finance sector, there is little reliable evidence to back it up.

The most credible recent research on this subject was released by consultants to the investments of the Oxford University in late March 2008. Their review compared the performance of UK, European, US and global socially responsible investment (SRI) funds with their mainstream peers.