73% of high-net-worth individuals invest in ESG, research shows

High-net-worth-individuals (HNWIs) are more likely to invest in green and social impact funds now than they were six months ago, according to the Saltus Wealth Index Report.

The report surveyed over 1,000 people in the UK with investable assets of over £250,000 about how they felt about the economy, their own wealth and lifestyles, and a staggering 73% of respondents said they invest in ESG.

This figure has risen by over 64% compared to that of six months ago.

Michael Stimpson, partner at Saltus, said: “It is really encouraging to see a marked increase in the number of respondents investing in ESG.

“In the current energy crisis, green alternatives are high on the agenda, and from an investment point of view more investors choosing ESGs as part of a diversified portfolio can be very impactful.”

Saltus’ data also found that respondents with the highest net worth were the most likely to invest in ESG – with 84% of people with assets of £3 million or more investing in more sustainable areas.

The research revealed that the over 65s displayed the biggest increase in ESG investment; with the number of investors amongst this age group rising from 24% to 42% in just six months.

The report showed a marked increase in the perceived impact of investing in ESG, as 74% of respondents’ felt responsible investments make a tangible difference to the environment or society in general.

However, while perceived impact of ESG investment grows, some HNWIs still remain sceptical, as ‘I don’t think they make a difference’ (22%), ‘I don’t believe the reporting and analytics is robust’ (22%) and ‘sustainable investing is just hype’ (20%) remained commonly held opinions within the report.