Sustainable Investing Report 2022

Introducing the report

This is the fifth annual publication from Boring Money which provides advisers, platforms, providers and asset managers with detailed consumer and adviser research into preferences, intentions, understanding, barriers and sentiment.

This year, as always, the report starts with a detailed dive into both a nationally representative audience, and a savvier retail fund investor audience. We segment understanding, preference, values and intentions against various demographic criteria, so the report will help those wanting to map their target audience and to ensure good outcomes for their target market. We update our various personae – helping brands to understand what the prospective customers look like, as well as to size the market and quantify opportunities.

We also take a more topical look at key questions. Has the focus shifted to short-term profits as the cost of living bites? How are performance issues affecting intentions and sentiment? Is the invasion of Ukraine making for a more nuanced debate about weapons? And critically, are retail investors still committed to investing in sustainable and equitable funds?

The report will inform, evidence and quantify your plans, drawing on quantitative and qualitative inputs and data sets.

This report will support providers to:

• Segment an audience and create personae

• Develop propositions which meet investor needs and outcomes

• Size and quantify the market

• Understand brand preferences and intentions of investors and advisers

• Create compelling marketing and PR campaigns and better comms

• Deliver better business plans and Board reports

Source data and insights from:

• 4,600 nationally representative UK adults

• 1,500 retail fund investors

• A panel of UK advisers

• Qualitative insight from retail investors

• Including 3 years of track data for key data points

Key chapters in the report include:

• Consumer demographics and sustainable preferences

• Overall financial sentiment and intentions in the current context

• Understanding and attitudes to sustainable disclosures and communications

• Changing attitudes toward sustainable investments –how are oil prices, Ukraine & fluctuating markets affecting attitudes

• Sustainable segments – has the landscape changed and how might retail providers sensibly group investors by sustainable preferences and values?

• Investors, pension holders and savers’ intentions with regards to sustainable investing - preferred investment approach, exclusions and barriers.

• ESG pillars – what do people care about and what should brands track and monitor?

• Brands – Preferred asset management and wealth brands for sustainable investment consideration

• Savers & the underinvested – what hooks will encourage savers & the underinvested into investing with a specific focus on sustainable funds

• Adviser view on best sustainable brands, and changes in customer behaviour

Sneak peak of our findings:

64% of investors would consider a sustainable investment but greenwashing fears remain a major barrier

27% of investors say they hold a sustainable investment (21% don't know if they hold one or not).

• 10% of investors would consider taking out a sustainable investment in the next 12 months

• 54% of investors would consider taking out a sustainable investment at some point

• i.e. a net 64% would consider taking out a sustainable investment in future

Barriers:

• For investors, the top barrier to investing sustainably is "fear of mis-selling / greenwashing" (25%), followed by "I can get better returns elsewhere" (20%) and "I don't want to pay higher charges to invest this way" (20%)