With Covid-19 vaccinations accelerating and the economy opening up, 90% of wealthy investors agree that the pandemic has made them want to align their investments with their values.
So says the latest Investor Watch survey by UBS, which polled 3,800 investors across 15 markets globally.
The report found that investors are increasingly wanting to use their capital to drive change and are looking to find greater purpose in their lives.
Key points
• 79% felt that the pandemic made them reassess what is most important
• Nearly half plan to increase their charitable giving
• Almost 60% are more interested in investing sustainably than they were before the pandemic
“The pandemic has prompted many investors to re-evaluate what matters most to them and now have a renewed desire to contribute more to benefit society,” said Tom Naratil, Co-President of UBS Global Wealth Management and President of UBS Americas.
“It is encouraging to see that purpose-driven investment will be a priority for investors in the years to come. This is a unique moment where wealth managers have the opportunity to help their clients create immense change and better outcomes for future generations.”
The survey found that younger generations turned their attention more to purpose-related investing as a result of the pandemic. Some 79% of investors aged 50 and under noted that the pandemic made them want to make more of a difference in the world, compared with 51% of investors over 50.
Nearly three-quarters of this younger demographic also want to develop or update a comprehensive financial plan.
Iqbal Khan, Co-President of UBS Global Wealth Management, added: “Globally, investors are motivated to play their part in making the world a better, more sustainable place. The heightened interest in charitable giving and desire to obtain sustainable investing advice from younger generations is a sign, too, that this mindset may be here to stay.”
From a gender perspective, more women have seen the pandemic as a time for reflection – 84% said they have reassessed their goals amid the pandemic, compared with 76% of men. As investors begin to put the pandemic behind them, 51% of women plan to increase charitable giving compared with 42% of men.
About the survey
For this edition of UBS Investor Watch, UBS surveyed 3,800 investors aged over 25 years old with at least $1m in investable assets.
The global sample was split across 15 markets: Argentina, Brazil, mainland China, France, Germany, Hong Kong, Italy, Japan, Mexico, Russia, Singapore, Switzerland, the UAE, the UK and the US.
The research was conducted in May 2021. Findings were compared with a study conducted in May last year among more than 3,750 investors with similar asset levels and age groups.