Short glossary

CSR: Corporate Social Responsibility; a concept according to which companies’ obligations extend to other stakeholder groups and not just to the owners of the company; a strategy whereby companies are managed in a manner that takes the goals of environmental and social responsibility into consideration alongside financial goals.

ETHICAL INVESTMENT: Investment activities in which the investor’s personal values bear more weight than the expected financial returns in the choice of investment targets.

ESG: Environmental, Social and Governance issues; criteria applied to environmental and social responsibility and governance issues.

FINSIF: Finland’s Sustainable Investment Forum; The Forum’s goal is to promote sustainable and responsible investment in Finland.

(S)RI: (Sustainable and) Responsible Investments.

POSITIVE SCREENING: Positive screening means seeking companies that are committed to responsible business practices and/or that produce sustainable products or services.

UN PRI: The United Nations’ Principles for Responsible Investment; an initiative and a set of guidelines on responsible investment principles, www.unpri.org

ENGAGEMENT: Active ownership; using ownership rights to foster more responsible corporate operations and to ensure investment returns.

RESPONSIBLE INVESTMENT: Investment activities in which ESG factors extend to the investment process and ownership practices, with the view that it contributes to the result and risk profile of the investment portfolio.

NEGATIVE SCREENING: The exclusion of companies or sectors from the investment universe on the basis of certain criteria.