Climate and biodiversity issues are of greatest concern for investors in Singapore, Indonesia, Malaysia and Thailand, a Schroders report has found.
The Schroders Global Investor Study 2022 found 30% of investors in these regions consider climate issues the most important engagement priority, followed by 23% ranking natural capital and biodiversity second.
The study was conducted between February and April this year of nearly 24,000 individuals who invest from 33 locations globally, including Indonesia, Malaysia, Singapore, and Thailand.
Age and education
The survey also found out that 78% of younger southeast Asia investors, those aged 38-50, are more likely to prioritise their principles and values when making investment decisions, although they also felt less equipped than expert investors with the knowledge to do so.
Among self-classified “expert” investors, 58% claimed that their personal principles are “very important” to them, significantly higher than those who class themselves as intermediate and rudimentary investors.
“This study demonstrates that perhaps now more than ever before, investors of all levels of experience are increasingly wanting to express their views if companies are unable to justify their actions,” said Stuart Podmore, Schroders’ investment propositions director.
“If the pandemic has taught us nothing else, it is that companies, as well as governments, are under closer scrutiny than ever to mitigate ESG risks in a sustainable way.”
Where better knowledge on sustainable investing is available, the study also found southeast Asian investors now feel more confident in accessing investments that might previously have been seen as off-limits.
In the region, 51% of the investors surveyed felt empowered to access digital assets, 49% of them were confident in investing in private equity, and 50% felt capable in investing in real estate.
This story was first published on ESG Clarity.
