Investors Start to Take Climate Change and Other Social Issues Personally
Thursday, May 15, 2014
Spurred by extreme weather and new science bolstering fears of catastrophic events, more investors are taking climate change and other societal issues to heart when they decide to where to put their money.
Patricia Farrar-Rivas, founding principal, CEO and COO of Veris Wealth Partners, says investors are seeking different kinds of investment options, ones that can have a lasting impact beyond the bottom line.
That’s a change from not so long ago when only high net worth individuals in California or New York were concerned about such high impact investing.
Everyone else, said Lori Hardwick, EVP of advisory services for Envestnet, “was sort of on the outside looking in,” and while some financial advisors may have wanted to gauge their clients’ desire for more socially conscious, sustainable ventures, the question was an awkward one to ask, mainly because advisors did not have the requisite information and tools at their disposal.
Today, though, that awkwardness is gone. Clients are not afraid to ask for sustainable investments and advisors across America are looking to not only educate themselves about impact investing but also figure out where the best options lie.