Abstract:
Using an experimental design, we examined the effects of variability in outcome information
framing on the decision-making process of impact investors. Our findings illustrate that
outcome framing has a meaningful effect on the capital allocation decision investors, but does
not influence risk perception or sense of understanding of an investment choice.
Given the emerging interest and importance of impact investment as a mechanism for
addressing rising environmental, social, and governance needs, we believe that the findings
presented in our paper will appeal to socially conscious investors who subscribe to the Journal
of Business Ethics. Our findings will allow your readers to consider the ethical and practical
implications of outcome framing within an inherently dichotomous field of investment.
