The main objective in this paper is to provide a better insight into the concepts and strategies of socially responsible investing and the application of environmental, social and governance criteria in investing. Although they are slowly moving from secondary strategies to dominant mainstream strategies, both concepts cause ambiguity and insufficient understanding of their characteristics, similarities and differences by the general public, due to conceptual inconsistency and accelerated development of this relatively new area. The research was primarily conducted by analyzing the available academic and professional literature, following with the characteristics and performance analysis of selected financial instruments using the information-trading platform Bloomberg Terminal. Socially responsible investing is a concept of investing that has its origins in the application of various religious and ethical norms in investment decisions. In addition to financial return, socially responsible investing involves the inclusion of non-financial investment goals, encouraging social responsibility and positive social impact. Also, the implementation of environmental, social and governance criteria in the investment decision-making process has its roots in the traditional concept of socially responsible investing, but it is considered a more modern approach, aimed at increasing investment profitability through a more comprehensive analysis of companies and sectors, beyond purely financial criteria. Environmental, social and governance criteria is becoming a part of the fundamental analysis in the investment decision-making process. These strategies are most prevalent in the developed world, especially in Europe and the United States, with the dominance of actively managed open-end investment funds as the products to which the strategies are applied. Although socially responsible investing is considered an outdated concept compared to the application of environmental, social and governance investment criteria, the performance analysis of selected financial instrument applying separate strategies in the US stock market during the last several years showed a higher financial return for a socially responsible investment strategy.