Half Financial Planners only consider ESG on request
Over half (52%) of Financial Planners only consider ESG criteria for retirement portfolios when requested by the client, according to new research. A third (31%) of Financial Planners told Aegon and Next Wealth that ESG is among the factors considered when selection funds in retirement portfolios. Only 3% of Financial Planners said they apply a strict ESG screening approach to all funds selected. Adviser interviews for the report highlighted there are still questions on how to determine a clients ESG preferences. ESG means different things for different people so understanding how to translate this into an investment portfolio can be challenging. One adviser said: The problem we have is clients can be quite specific, like avoid tobacco or arms.and when we drill down, one of the funds we use on the advisory side of the business will invest in something they dont agree with. {loadposition hidden2} The advisers interviewed agreed that there needs to be better standards in data and language to support wider adoption of ESG approaches to investing.
Half Financial Planners only consider ESG on request
Over half (52%) of Financial Planners only consider ESG criteria for retirement portfolios when requested by the client, according to new research. A third (31%) of Financial Planners told Aegon and Next Wealth that ESG is among the factors considered when selection funds in retirement portfolios. Only 3% of Financial Planners said they apply a strict ESG screening approach to all funds selected. Adviser interviews for the report highlighted there are still questions on how to determine a clients ESG preferences. ESG means different things for different people so understanding how to translate this into an investment portfolio can be challenging. One adviser said: The problem we have is clients can be quite specific, like avoid tobacco or arms.and when we drill down, one of the funds we use on the advisory side of the business will invest in something they dont agree with. {loadposition hidden2} The advisers interviewed agreed that there needs to be better standards in data and language to support wider adoption of ESG approaches to investing.