Which of the following approaches to ESG investing most likely uses negative screening?

Ethical investmenttypically usesnegative screeningto exclude companies or sectors that conflict with moral or ethical values—such as tobacco, alcohol, gambling, or weapons. This approach was historically adopted by religious or values-based investors.

“Negative screening imposes a set of exclusions based on ethical preferences or around a normative worldview… The first formal approach was aligned to religious values… Many investors apply exclusions to restrict exposure to sectors such as tobacco, pornography, and alcohol.”

While socially responsible investment (SRI) may include screening, it often blends positive criteria or best-in-class selection, makingethical investingthe clearest example of negative screening.