Ethical Investing Continues to GrowYahoo Finance
January 27, 2017
The bottom line isn't always top of mind for some investors.
A survey released in December by consulting firm Callan Associates found that 37 percent of 84 U.S. institutional funds representing approximately $843 billion in assets incorporated environmental, social and governance factors into their decision making, an increase from 22 percent in 2013.
"People want to be able to invest in a way that is consistent with their values," says Blaine Aikin, executive chairman at fi360, a Pittsburgh-based fiduciary education and technology company.
Consumers are seeking this type of investment because they want to put their money in companies with responsible workplace policies and governance and that take societal values into account, Aikin says.
With institutional investors such as endowments and pensions increasingly adding socially conscious wording to their investment policies, asset management firms are having to create products to meet that demand, says Jimmy Lee, CEO of the Wealth Consulting Group, which is based in Las Vegas. Otherwise their clients could go elsewhere, he says.
"It's a powerful force that's going on out there," Lee says. "Assets in sustainable investing strategies have gone up tremendously." Read More.