Morals Versus Money – What Motivates Investors More?

Whilst making money is an obvious motivator for our investment choices, the latest Schroders Global Investor Study has revealed some interesting insights into what is driving investors’ recent investment decisions.

The study, which was conducted between 30 April and 15 June 2020, canvassed the opinions of more than 23,000 investors from 32 locations around the world. One of the key findings was that 77% of investors refuse to compromise on their personal beliefs when investing, even if higher returns were on offer.

As responsible investing continues to rise in popularity, investors’ personal value systems appear to be playing an increasingly non-negotiable role in where they place their money.

Below is an overview of some the study’s findings.

THE PRICE REQUIRED TO SWAY

Of the 23% of investors who said they would be willing to compromise on personal values, the returns would need to be at least 21% to convince them to do so.

OLDER AND WISER?

The results have shown that younger investors are more likely to forgo their personal values in exchange for higher returns.

Percentage of investors that would invest against personal beliefs if returns were higher.

SPREADING THE WORD

Previous studies had revealed that investors were worried that responsible investment choices would mean sacrificing returns. This year, 42% of those surveyed were attracted to responsible investing in the belief they are more likely to offer higher returns.

Are responsible investments attractive?

If you would to see more results from the latest Schroders Global Investor Study, please click here.

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Source: https://www.schroders.com/en/uk/tp/markets2/markets/are-investors-more-motivated-by-morals-or-money/