Millennials and Gen Xers are more are more inclined toward socially responsible investing, according to a new report from Spectrem Research, which finds that more than one-quarter of investors under the age of 45 allocate at least 25% of their investable assets in socially responsible companies. Twenty-one percent of female investors do the same. The results were based on a survey of 3,070 investors with assets ranging from $100,000 to $25 million.
Advisors interested in expanding their client base may want to consider these survey results. “Familiarity with socially responsible companies may allow you to develop a relationship with the children of your existing clients,” the report explained.
Not only are more investors expressing more interest in socially responsible investing but the total SRI assets are growing quickly. SRI assets have expanded by 76% over the previous two years to $6.57 trillion at the start of 2014, according to the Forum for Sustainable and Responsible Investment, also known as the US SIF.