Abstract
This entry explores the concept and historical development of socially responsible investing in conjunction with the Islamic finance industry. SRI, a form of investment that incorporates social and environmental considerations alongside conventional investment criteria, originated in the 1920s within the UK. The Methodist church, in an effort to steer clear of morally objectionable investments, played a pivotal role in its early development. Subsequently, it gained traction among religious organizations and socially conscious investors starting from the 1960s. Following the occurrence of the global financial crisis in 2008, there was a notable surge in interest in SRI, resulting in a substantial increase in the magnitude of investments made in this particular domain. The present submission encompasses several interpretations of SRI and conducts a comparative examination with respect to Islamic finance investment funds, focusing on their fundamental characteristics. This entry focuses on the examination of the influence exerted by Islamic investment funds and SRI on investment returns, as well as their significance within the financial system.
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Ustaoğlu, M. (2024). Socially Responsible Investment Funds (SRI). In: Ustaoğlu, M., Çakmak, C. (eds) The Palgrave Encyclopedia of Islamic Finance and Economics. Palgrave Macmillan, Cham. https://doi.org/10.1007/978-3-030-93703-4_400-1
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DOI: https://doi.org/10.1007/978-3-030-93703-4_400-1
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Publisher Name: Palgrave Macmillan, Cham
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