Young investors want ESG screening

17 August 2016
| By Hope William-Smith |
image
image
expand image

Young investors are more than twice as likely than their older counterparts to want their investments screened based on environmental, social and governance (ESG) factors by their wealth management providers.

That was the finding from from Scorpio Partnership and FactSet, whose data revealed a measured difference in attitudes between younger and older investors, with only 29 per cent of those 55 and over wanting ESG screening on their investments.

Slightly more investors in the 35-54 age bracket (53 per cent) were in favour of ESG screening, while a total of 61 per cent of those under 35 rated themselves ‘expectant' of receiving it.

Meanwhile, nearly half of investors in the eldest bracket said it was ‘nice but not essential' to have socially responsible investments, compared to 27 per cent in the middle bracket and only 15 per cent of the youngest group.

As younger investors grew in numbers, BNP Paribas estimated that the amount of ESG screening in the wealth management industry would grow steadily to accommodate new desires.

A similar number of respondents — 23, 20 and 24 per cent respectively from youngest to eldest — identified themselves as ‘apathetic' toward socially responsible portfolios.

Read more about:

AUTHOR

Recommended for you

sub-bgsidebar subscription

Never miss the latest news and developments in wealth management industry

MARKET INSIGHTS

GG

So shareholders lose a dividend plus have seen the erosion of value. Qantas decides to clawback remuneration from Alan ...

2 months 1 week ago
Denise Baker

This is why I left my last position. There was no interest in giving the client quality time, it was all about bumping ...

2 months 1 week ago
gonski

So the Hayne Royal Commission has left us with this. What a sad day for the financial planning industry. Clearly most ...

2 months 1 week ago

A Sydney-based financial adviser has been banned from providing financial services in the interest of consumer protection after failing to act on conduct concerns. ...

3 weeks 3 days ago

ASIC has cancelled the AFSL of a $250 million Sydney fund manager, one of two AFSL cancellations announced by the corporate regulator....

3 weeks 1 day ago

Having divested its advice business in August, AMP is undergoing restructuring in at least four other departments amid a cost simplification program....

2 weeks 5 days ago