The latest developments in and around sustainable investing.
St James's Place Wealth Management
A poll of 2,017 adults in Asia shows that they are growing more interested in sustainable investing, with COVID-19 having increased their interest in the field.
The survey, carried out by St James’s Place Wealth Management Asia, was conducted among adults aged 25 to 54 in Singapore and Hong Kong in February and March this year. The respondents held personal investments in stocks, property and funds and had a minimum household income of more than S$70,000 to more than $250,000/HK$400,000 and more than HK$1,500,000.
Some 63 per cent of respondents said that environmental, social and governance (ESG) considerations and sustainability are now important factors in how they invest. This rises to 71 per cent for Hongkongers in the higher income bracket (HK$1,000,000 and above per annum).
In Hong Kong and Singapore, the survey found that almost two-thirds (64 per cent) said they actively seek this information before investing.
More than half (54 per cent) believe that they need to compromise returns to invest responsibly, with 42 per cent saying that they are concerned over the performance of sustainable investments - a key barrier which prevents them from investing more responsibly.
Other key barriers for investing more responsibly include a lack of knowledge (48 per cent), difficulty in accessing knowledge (43 per cent) and a lack of sustainable investment options (37 per cent).
SJP said the findings underscore a growing need to bridge the intention-action gap through credible financial advice, considering that 87 per cent of investors in Hong Kong and Singapore have highlighted a demand for better financial advice and knowledge of investments. Independent financial advisors are also among the top sources of advice for 40 per cent of Singaporeans and 37 per cent of Hongkongers.