Socially Responsible Investing and Public Pension Fund Performance in Latvia

Currently Latvia runs a three-pillar pension system. Despite positive dynamics of change of net assets of pension schemes, investments into pension programs are not regarded as financial products that could be popular amongst the population of Latvia. This problem is one of the key social economic issues in society and therefore its solution, which should be developed with consideration of ethical principles of investment, is socially important, which is why it should be addressed by the state. The aim of this research is to consider social and economic aspects of activities of the 2nd pillar pension fund in Latvia and to identify the attitude of Latvian residents to investments into pension programs. The authors' conclusions are based on the analysis and synthesis of scientific and economic literature, the official statistical data, and research of opinion of the Latvian population.