Millennials are more inclined than previous generations to consider responsible investing, which includes integrating environmental, social and corporate governance (ESG) factors into their portfolios, according to a 2016 report by the Responsible Investment Association.
Here are some highlights from the report:
65%more likely than Boomers to consider ESG factors when making investment decisions.
60%more likely than Boomers to exit an investment because of objectionable corporate activity on social or environmental issues.
82%of millennial investors believe that responsible investing will become more important in the next 5 years
67%believe it is important for their financial advisor to be knowledgeable about RI issues and trends, compared to 52% of Gen X and 54% of Boomers
These trends demonstrate a bright future for responsible investing. As millennials’ incomes begin to rise and the $30 trillion they are poised to inherit starts trickling down into the hands of this emerging generation of investors, the responsible investing industry is expected to grow exponentially.1
1. Wall Street Has Its Eyes on Millennials' $30 Trillion Inheritance. Bloomberg, March 3, 2015