Finally, the requirements that a fund has to fulfill in order to be included in the SIF's listing of SRI funds are not stringent. For example, a fund could be on the list just by having a formal policy of excluding companies with interests in the tobacco business. If the constraints that SRI (as defined in our data set) imposes on fund managers are minor, the performance of SRI mutual funds should not be expected to be lower than that of conventional funds. It is important to highlight that the estimated performance differences between SRI and conventional funds cannot.
