Jessen (2012)

Jessen, Pernille.  “Optimal responsible investment.”  Applied Financial Economics,  May 22, 2012.

From the author's abstract:  "The article examines responsible investment portfolio allocation. The analysis defines an investor-specific measure of portfolio responsibility and incorporates this measure into two different conventional investment approaches. First, investor utility theory describes preferences for portfolio responsibility. The utility setup is intuitive; however, any implementation would require information on investor trade-offs between portfolio risk, expected return and responsibility. Second, mean-variance analysis captures portfolio responsibility with an additional restriction on the investment problem. This approach yields analytical solutions for the optimal responsible investment problem and provides a sensitivity analysis of the required portfolio responsibility."

Link:  http://www.tandfonline.com/doi/abs/10.1080/09603107.2012.684786?journalCode=rafe20#.VbViDmAk_dk