Question

Socially responsible funds are distinguished from other mutual funds because they do not charge any sales commission or management fees. invest only in companies that meet specified moral, ethical, or environmental standards. invest only in over-the-counter stocks. will sell their shares only to investors who sign a statement saying they do not smoke tobacco or use alcohol.

Answer 1

Socially responsible funds are distinguished from other mutual funds because they invest only in companies that meet specified moral, ethical or environmental standards.

Step-by-step explanation:

Socially responsible funds are mutual funds that follow the criteria of Socially Responsible Investing (SRI). SRI is an investment strategy that consists on choosing the companies in which to invest the money considering not only financial return, but also the social or environmental impact and appreciating good management.