Calvert social investment fund is a pioneer in sustainable and responsible investing in the United States. As one of the first socially responsible mutual fund companies, Calvert has been integrating environmental, social and governance (ESG) factors into its investment process since 1982. With over $25 billion in assets under management, Calvert offers a wide range of mutual funds and separate accounts that invest in companies meeting certain sustainability criteria. This article will examine Calvert’s history, investment approach, major funds, and impact in social investing.
Calvert began practicing ethical investing principles long before the term ESG investing became popular
Calvert social investment fund was founded in 1976 and launched the First Variable Rate Fund for Income, one of the first socially responsible mutual funds in the U.S., in 1982. At that time, considering social responsibility factors like environmental practices and corporate governance in investment decisions was rare. Calvert emerged as an early advocate for ethical and sustainable investing practices at a time when these concepts were just beginning to gain wider recognition. The launch of Calvert’s first fund marked an important milestone in making social investment funds available to the broader investing public.
Calvert evaluates companies on ESG factors and advocates for change through shareholder engagement
Calvert social investment fund utilizes a rigorous process to evaluate potential investments across a range of ESG factors. Its research analysts gather data on companies’ environmental practices, treatment of employees, product safety and social impact. Companies are scored based on ESG performance relative to industry peers. Only those passing Calvert’s sustainability criteria are included in its funds. Calvert actively engages with portfolio companies through proxy voting, dialogue and shareholder resolutions aimed at improving ESG policies and disclosure. This shareholder advocacy is a key part of Calvert’s sustainability strategy.
Calvert offers a suite of mutual funds focused on different sustainability objectives
Calvert social investment fund provides investors a selection of mutual funds targeting various social investment goals. Its flagship Calvert Equity Fund invests in companies with strong ESG performance across sectors. Other funds focus specifically on corporate diversity (Calvert Diversity, Equity and Inclusion Fund), the water industry (Calvert Global Water Fund) and bonds financing environmental and social projects (Calvert Green Bond Fund). While financial returns vary by fund, all of Calvert’s offerings allow investors to align investments with ethical values. Calvert also partners with financial advisors to develop custom ESG portfolios for clients through separately managed accounts.
Calvert has played an influential role in developing the social investment industry
As one of the first movers in social investing, Calvert social investment fund helped demonstrate the viability of considering ethics within portfolio management. Its success paved the way for other asset managers to integrate ESG criteria into investment analysis and decision making. Calvert also co-founded the Social Investment Forum, a non-profit organization dedicated to promoting sustainable, responsible and impact investing across the financial industry. Additionally, Calvert has been a leader in creating industry frameworks for sustainability research and helped develop the UN Principles for Responsible Investment.
Calvert social investment fund has pioneered ethical and sustainable investing since the 1980s. Its commitment to evaluating ESG factors, engaging with companies and offering values-based mutual funds makes Calvert a leading proponent of social investing principles.