Possession of accountable investments has remained comparatively unchanged over the previous three years. One-third of respondents (33%) mentioned they personal investments that incorporate ESG elements, in comparison with 31% in 2021 and 33% in 2020.
“It’s clear that buyers are fascinated by social and environmental points and wish their portfolios to replicate their considerations,” mentioned Patricia Fletcher, CEO of the RIA.
Traders aged 18-34 usually are extra focused on RI (71%) than these aged 55 and older (51%), and girls are extra (67%) than males (61%).
General, 76% of respondents agreed that RI can have an actual impression on the financial system and contribute to optimistic change for society.
Hurdles for accountable investing
Whereas most respondents (73%) mentioned they’d like their monetary advisors to inform them about RI choices which can be aligned with their values, solely 31% mentioned their advisors had performed so. This phase inched larger in comparison with final 12 months (27%), following up to date regulatory steering encouraging advisors to ask their purchasers about their funding goals referring to ESG.
Addressing the subject might assist shut the hole in RI information, which stays low: 70% say they know little to nothing.
“This is a chance for monetary advisors which can be educated about accountable investing to satisfy investor demand and supply funding alternatives that align with their purchasers’ ESG preferences and private values,” mentioned Fletcher.
One other hurdle is worry of greenwashing within the funding trade. Three quarters of respondents (75%) mentioned they had been involved about greenwashing, much like the extent expressed in 2021. In the meantime, 78% of respondents agreed that there must be elevated regulation and scrutiny within the funding trade to fight greenwashing.
The subject of biodiversity loss additionally resonated with respondents. Virtually three quarters (74%) mentioned they had been involved and 68% agreed it was essential that firms are dedicated to stopping biodiversity loss.
The survey was sponsored by AGF Investments Inc. and Desjardins Group and the findings had been based mostly on an Ipsos ballot of 1,005 particular person buyers in Canada carried out between Nov. 2 and Nov. 8, 2022.