INVSTR053 Ethical investing - putting your super where your heart is (528 words)

Millennials are setting a trend when it comes to having more say on what their super funds are investing in. This article explains what ethical investing is and how to take more control over how super is invested.

Millennials – take a bow. Not only are you concerned about how your super is invested, you are more likely than other age group to act on your beliefs when choosing a super fund.

Research commissioned by the Responsible Investment Association Australasia (RIAA) reveals that ....% of Millennials prefer to invest in a responsible super fund than one that only considers maximising financial returns. Well ahead of Gen X on ...% and Baby Boomers on ...%.

Across all demographics, the proportion of people who would rather invest in a super fund that “considers the environmental, social and governance (ESG) issues of the companies it invests in and maximises financial returns”, as opposed to a fund that focuses solely on maximising returns, has risen by ...% since 2013.

That’s a pretty strong trend which sends a clear message not only to superannuation and investment fund managers, but also to the wider corporate community - people care about more than just profits. They also want their investments to contribute to the greater good.

What makes an investment ethical?