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Socially Responsible Funds  

Definition 1.

The goals of these funds range from avoiding companies that deal in tobacco or military weapons to favoring those that specialize in cleaning up the environment. Some funds target companies that build low-income housing, provide health care or make loans to low- and moderate-income people. Investor interest in this type of mutual fund is growing rapidly.The oldest socially responsible fund is The Pax World Fund of New Hampshire, which was formed in 1971. Other well-known funds include the Dreyfus Third Century Fund, the Calvert Social Investment Fund and The Parnassus Fund. The Pioneer Group also offers more than a dozen funds that will not invest in companies that are involved in tobacco, liquor, firearms or gambling.
 
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