Is it worth paying a premium to invest in a socially responsible mutual fund? The securities industry thinks so. Some of these funds have front end sales loads as high as 4.5% and yearly expense ratios over 2%.
You have a conscience. You have to wonder if the fund families pitching these funds do.
These exorbitant fees are contrary to the basic principles that guide Smart Investors. We know that there is a direct relationship between low fees and high returns.
So what's a socially responsible investor to do? Fortunately, you can salve your conscience and still be a Smart Investor. I explain how in response to a question on this subject from a concerned investor.