Survey finds savers value ethics
AUCKLAND: More than $4 billion remains invested in companies and sectors deemed unethical, despite many New Zealanders assuming their KiwiSavers and other managed funds are being invested responsibly.
A study undertaken for charity Mindful Money and the Responsible Investment Association of Australasia (RIAA) surveyed 1000 New Zealanders on the topic of ethical investing.
RIAA chief executive Simon O’Connor said there was an assumption KiwiSaver money was being invested in firms consistent with people’s morals, and kept away from industries linked to human and labour rights violations, environmental degradation and fossil fuels.
However, this was not always the case, and more consumers were keen to take action, he said.
‘‘What’s really changed is there’s a much greater willingness to switch investments . . . a huge majority of those not investing ethically, in fact 90%, are stating that they’re intending to invest ethically in the next year.’’
Those tasked with investing funds should keep that in mind, Mr O’Connor said.
‘‘There’s a real risk now that we’re investing in a way that doesn’t avoid harm or isn’t investing in a better future, and that New Zealanders will in fact move their money away from those investments. . .’’
More consumers — 78% of those surveyed — would be looking to ethical funds because they would likely earn higher returns.
However, a lack of independent information was a barrier, and about half of respondents also said they did not have time to look and compare schemes; 41% chose their KiwiSaver provider because it was linked to their main bank. — RNZ