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Aegon makes new hire in responsible investment drive

Aegon makes new hire in responsible investment drive
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Client requests for ESG considerations remain low

Client requests for ESG considerations remain low
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IFAs favour simplicity of multi-asset funds for retired clients

IFAs favour simplicity of multi-asset funds for retired clients By Michael Klimes 12 Multi-asset funds for retired clients have increased in popularity among advisers, Aegon research shows. The study of 200 advisers finds in-house and bespoke portfolios decreasing in popularity due to their complexity. There are also operational challenges of managing these bespoke portfolios on an advisory basis and business risk from increased regulatory focus. Fifty-six per cent of advisers ‘always’ or ‘often’ recommend multi-asset funds for retirement clients, up from 36% in 2020. Growth is expected to continue as over one in five (22%) advisers say they will increase use of multi-asset funds in the next three years.

Advisers demand more ESG products

Yet only 15% of consumers actively invest in sustainable funds The switch to a more sustainable society is undeniably spreading across the world. More people than ever recycle, avoid single-use plastics, and consider their carbon footprint before buying basic food items. And firms are adapting to meet this rising demand. If you go to any store, physical or online, chances are that an array of green products will be marketed to you – from metal and glass straws, silicone food bags, plant-derived washing-up sponges and bamboo toothbrushes. Several of the above items now have a place in my home, alongside ecological cleaning products and several delivery service subscriptions aimed at tackling food surplus and waste.

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