Credit Suisse: Does It Pay To Be Bad?

Credit Suisse's Global Investment Returns Yearbook 2015 is a must read for investors. This year, the yearbook contains some extremely interesting long-term (115 years) data on industries (see Credit Suisse; The Rise And Fall Of Industries) and international equity markets.

Credit Suisse also looks at responsible investing in its 2015 Yearbook, asking the question; "does it pay to be bad?"

Does it pay to be bad?

Credit Suisse's data shows that “sin” can pay, not least because those choosing to exit “sinful” stocks can cause them to offer higher returns to those less troubled by ethical considerations.

Take, for example, a comparison of returns between two US mutual funds launched in the early 2002s. The funds in question are the Barrier Fund...