UBS: The ultra-rich want to make money through good causes — but there aren’t enough options (CNBC)

on

The super wealthy want more out of their investments these days.

In addition to financial returns, they want their money to drive positive changes in the world, but the options for achieving both concurrently is lacking, according to a UBS expert.

- Promotion -

The Swiss bank, the largest wealth manager globally, was referring to a money-making discipline known as sustainable investing. That’s an umbrella term for investing in financial instruments that generate returns from doing good — or simply supporting something that’s not doing bad.

But many of the available investment products marketed as being socially responsible or sustainable simply leave out financially risky companies or firms deemed to be in the business of “vices” — a method that doesn’t resonate with all investors, said Simon Smiles, chief investment officer for ultra-high net worth at UBS Wealth Management.

Partner message

In the midst of a global pandemic, Apple announced one of the corporate world’s most ambitious environmental blueprints – to reduce the climate impact of every Apple device to net zero by 2030. The plan involves cutting 75 per cent of the company’s existing carbon footprint, not only for its own business but also across the manufacturing supply chain and product life cycle.

Learn more

NordSIP Insights

Most read this week

NordSIP Insights – Impact Investing Handbook

In 2020, impact opportunities are easier to find and more accessible than ever for asset owners. The definitions are clearer, the goals are tangible...