DarwinCatholic: Hobby Lobby, Hypocrisy, Ethical Investing

… I think it’s a reach to hold that someone is making a moral statement with their selection of a mutual fund. Mutual funds typically invest in a large number of companies, they change their portfolio relatively frequently, and the selection criteria, especially in the sort of funds offered in a typical 401(k), are often fairly rote: all stocks that are on a given index, for instance: all 500 stocks which are on the S&P 500 index. I do not think that you are any more morally endorsing the companies invested in by a mutual fund by investing in it via a 401(k) than you are endorsing every person and company which your bank makes loans to when you put money into a savings account and earn interest based on the success of the bank’s loans.

via DarwinCatholic: Hobby Lobby, Hypocrisy, Ethical Investing.

Well said.

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