Frenkel Topping Group has reported strong growth thanks to its socially responsible investments.
The Salford-based asset management company believes the growth of its portfolio is a testament to the millennial appetite for socially responsible investing (SRI), which grew in value thereby bucking the current global trend towards economic downturn.
An MSCI ESG Research 2019 Trends to Watch report found that 90% of millenials prefer ethical investments, and 15% of millenials would exit an investment due to objectionable firm behaviour.
Richard Fraser, CEO of Frenkel Topping Group, explains the company’s decision to offer a portfolio of socially responsible investments: “The millennial mindset is here to stay. While some businesses took an initial view that this was a fad, we realised early on the significant growth potential of socially responsible investing.
“We were one of the first to market with a new SRI portfolio that demonstrated a blend of the best environmental, social and governance practices. In a market that is calling for regulators to close the gap between what issuers disclose and what investors want, we are already a long way ahead of the pack.
“Millennials are used to having a wealth of information at their fingertips, and expect the same from their investment management. Transparency of information and ethical investment are prioritised by this next generation of investors.
“We have seen a rising number of enquiries from clients who are looking for long-term asset growth through investment that achieves a positive impact, rather than that necessarily delivers the highest return in the short term.
“What we are seeing now is this approach paying off on all fronts. The Frenkel Topping Group SRI portfolio is outperforming its benchmark and this trend is demonstrating marked growth.”