Ethical concerns 'influencing investor decisions'

Socially responsible investing appears to have attained greater importance for global private wealth management customers in the current financial downturn.

According to a study from insurance firm Friends Provident, 74 per cent of all Britons believe that companies should give due consideration to ethical and environmental issues.

This attitude was carried forward into the private wealth management services sector, with a slim majority (54 per cent) saying that ethical investing is ’far more important’ now than it was 25 years ago.

Trevor Matthews, chief executive officer at Friends Provident, said: ’Many people take an ethical approach to their finances by avoiding investing in companies that are not socially responsible.’

He added: ’It’s no longer just about individuals - the media and the corporate world has contributed to the huge awareness campaign, and celebrity endorsement has widened this further. People are now investing with care, and realising that you don’t have to compromise your principles to make a profit.’

When questioned about their specific ethical concerns, typical answers from customers centred on the environment.

Pollution, energy conservation and climate change were each cited by roughly one third of respondents.ADNFCR-2318-ID-19198264-ADNFCR