Invest
Ethical investments on the backburner for millennials
Despite taking a moral high ground, Aussie millennials still select profit over ethical investing when deciding on an investment strategy, a survey has revealed.
Ethical investments on the backburner for millennials
Despite taking a moral high ground, Aussie millennials still select profit over ethical investing when deciding on an investment strategy, a survey has revealed.
The research from Calastone has shown millennials are returns-focused investors: 60 per cent said long-term returns are rated first as a most important consideration for them, while only 37 per cent indicated that investment in ethical funds, causes or products was important to them.
The survey revealed a global consensus that the least important consideration for investors is alignment with ethical funds, causes and products, despite the younger generation being behaviourally led by their support for social, ethical and governance issues.
Ross Fox, Calastone managing director Australia and New Zealand, said the survey results challenged industry-wide views of millennials.
“This study shows a generation of investors who are clearly outcomes-focused and demand greater transparency, accountability and engagement than comparatively wealthier generations before them,” he said.
The Calastone report found Australians, in particular, are also keenly aware and focused on the fees and expenses associated with an investment opportunity, investing with it rating second as a most important consideration, followed closely by a firm’s reputation.
Aussie millennials are also more open to big tech companies compared with the rest of the world, which suggests the domestic industry might need to better adapt to new technologies.
“While big tech companies such as Apple, Amazon and Netflix have not yet made inroads into asset management, many experts expect they will at some point, so asset managers need to be thinking now about how to innovate and improve customer experiences,” Mr Fox said.
He also noted that the study highlights gender disparity as an issue for the global investment industry, with 39 per cent of young men owning investment products compared to 27 per cent women.
“Calastone’s findings reveal areas of focus for asset managers and their distribution channels to improve engagement with millennial men and women who are clearly receptive to long-term investing provided they see value and transparency and receive good service along the way,” the managing director said.
nestegg recently reported than Gen Z females have over 20 per cent more in stock market assets than males in the same generation group.
About the author
About the author
Spending
5 ways to save on your electricity bill this summer
Consumers are being urged to look at ways to save on their electricity bill as the new norm from COVID-19 sees Aussies spend more time at home. ...Read more
Spending
What is the cost of poor customer service?
Retailers could be letting themselves down, with poor customer experience costing billions, new research has found. ...Read more
Spending
Where can you travel in 2021?
As part of the road to recovery, Qantas has announced domestic and international destinations that Australians can travel to as early as 2021. ...Read more
Spending
How COVID stole Christmas
Australians are lowering their expectations for the upcoming festive season, with lower spending, socialising and travelling predicted, a research company has found. ...Read more
Spending
Why 4 in 10 households can’t afford essential items
Almost 40 per cent of tenants' households can’t afford essential items including bills, clothing, transport and food after they are paying rent due to falls in income caused by the COVID-19 pandemic...Read more
Spending
Gamblers double down on pandemic punt
Despite governments limiting access to venues, as well as sports around the world going into lockdown, Australians are gambling significantly more money, official figures show. ...Read more
Spending
How much should you pay to visit the GP?
Australians visiting their local GP are willing to pay more for a longer consultation time or a shorter waiting time, according to new research. ...Read more
Spending
Ticket provider pays $7m for misleading consumers
A leading ticket provider has been ordered to pay $7 million after making misleading or false claims about reselling tickets. ...Read more
Spending
5 ways to save on your electricity bill this summer
Consumers are being urged to look at ways to save on their electricity bill as the new norm from COVID-19 sees Aussies spend more time at home. ...Read more
Spending
What is the cost of poor customer service?
Retailers could be letting themselves down, with poor customer experience costing billions, new research has found. ...Read more
Spending
Where can you travel in 2021?
As part of the road to recovery, Qantas has announced domestic and international destinations that Australians can travel to as early as 2021. ...Read more
Spending
How COVID stole Christmas
Australians are lowering their expectations for the upcoming festive season, with lower spending, socialising and travelling predicted, a research company has found. ...Read more
Spending
Why 4 in 10 households can’t afford essential items
Almost 40 per cent of tenants' households can’t afford essential items including bills, clothing, transport and food after they are paying rent due to falls in income caused by the COVID-19 pandemic...Read more
Spending
Gamblers double down on pandemic punt
Despite governments limiting access to venues, as well as sports around the world going into lockdown, Australians are gambling significantly more money, official figures show. ...Read more
Spending
How much should you pay to visit the GP?
Australians visiting their local GP are willing to pay more for a longer consultation time or a shorter waiting time, according to new research. ...Read more
Spending
Ticket provider pays $7m for misleading consumers
A leading ticket provider has been ordered to pay $7 million after making misleading or false claims about reselling tickets. ...Read more
More articles
Website Notifications
Get notifications in real-time for staying up to date with content that matters to you.
