RI demands highlight consumers’ super engagement

11 August 2015
| By Nicholas |
image
image
expand image

Growing consumer advocacy calling on superannuation funds to invest responsibly and ethically is highlighting how engaged Australian investors are, Responsible Investment Association Australasia chief executive, Simon O'Connor believes.

Launching the 2015 Responsible Investment Benchmark Report today, which highlighted the strong performance of ethical investments against benchmark funds, O'Connor said Australian investors were driving the growth in uptake of funds with environmental, social and governance (ESG) focuses.

"Consumers in ever greater numbers are awakening to the fact that you can invest prudently and profit without compromising your values, which is resulting in the growing retail interest," he said.

"The notion that Australians are disengaged from their superannuation has started its terminal decline and we anticipate that this will only result in greater interest in these issues.

"Those investors who are taking account of environmental, social and ethical issues in addition to financial issues are well positioned to capture this wave of growing demand."

O'Connor said the Australian responsible investment sector accounted for more than $630 billion in assets, with advisers, superannuation funds and fund managers increasing their allocations to responsible investment options over the last 12 months.

The RIAA report found that interest in retail responsible and ethic investments had grown 24 per cent on 2014, to more than $32 billion, while Australia's largest institutional asset managers have continued to integrate responsible investment strategies, with almost $600 billion in assets managed being held under ESG integration strategies.

The top five funds with "significant" core responsible investments

Super fund

$m in AUM

Local Government Super

$4806

UniSuper

$1835

VicSuper

$793

Australian Ethical

$681

Christian Super

$642

Read more about:

AUTHOR

Recommended for you

sub-bgsidebar subscription

Never miss the latest developments in Super Review! Anytime, Anywhere!

Grant Banner

From my perspective, 40- 50% of people are likely going to be deeply unhappy about how long they actually live. ...

10 months 2 weeks ago
Kevin Gorman

Super director remuneration ...

10 months 3 weeks ago
Anthony Asher

No doubt true, but most of it is still because over 45’s have been upgrading their houses with 30 year mortgages. Money ...

10 months 3 weeks ago

The central bank has served up a disappointment for punters on Melbourne Cup Day....

4 hours ago

The fund’s inaugural chief retirement officer is looking to establish a new venture. ...

9 hours ago

The sovereign wealth fund remains cautious of the impact of high inflation as it announces a strong return in its latest update....

1 day 2 hours ago