contents
Preface xi
1 Introduction 1
Adam Smith and Corporate Responsibility 4
External Costs 7
Fairness 13
Shareholders 15
Conclusions 18
2 Social, Environmental, and Financial Performance 19
What the Data Tell Us 28
Conclusions 41
Appendix: Whirlpool and Corporate Social Responsibility 41
3 Socially Responsible Investment 47
The Performance of SRI Funds 53
The Impact of SRI Funds 58
Conclusions 65
4 Financial Institutions and Social and Environmental Performance 67
Background to the Equator Principles 68
Development of the Equator Principles 70
Drafting the Equator Principles 72
Second Meeting of the Banks—February 12, 2003,
at Citigroup’s Office in Canary Wharf, London 74
Financial Times Articles 74
Third Meeting of the Banks—April 29, 2003,
at WestLB’s Offices in Düsseldorf 75
Elements of the Equator Principles 76