We’ve replaced our total U.S. stock market exposure (a single ticker) with three tickers, one representing SRI large-cap, one for conventional mid-cap, and one for conventional small-cap. These refer to U.S. mid-cap and small-cap growth funds. They were added so as we could maintain our value/small-cap tilts.
These changes have led to a 42% improvement to social responsibility scores on U.S. large-cap stocks (compared to the core portfolio) while remaining diversified and controlling cost.
All other SRI portfolio asset classes mirror Betterment’s portfolio because an acceptable alternative doesn’t yet exist or because the respective fund’s fees or liquidity limitations make for a prohibitively high cost.
