UBS Group will offer sustainable investments as its preferred solution for wealth management clients worldwide as the COVID-19 crisis underscores the need for more socially and environmentally responsible financing.
“The pandemic has brought the vulnerability and interconnected nature of our societies and industries to the forefront of investors’ minds and shown that sustainability considerations cannot be ignored,” Tom Naratil, co-chief of the bank’s $2.6 trillion global wealth business, said in a statement Thursday.
While traditional investments will remain the best option in some circumstances, a 100% sustainable portfolio can deliver similar or better returns, UBS said.
This year, major sustainable indexes have outperformed their peers in traditional investing, said the bank, which currently manages $488 billion in core sustainable assets.
“The shift in preferences toward sustainable products and services is only just beginning,” said Iqbal Khan, the other co-head of the wealth business. “Sustainable investments will prove to be one of the most exciting and durable opportunities for private clients in the years and decades ahead.”
Not all such investments are equal and a successful sustainable portfolio should be diversified and flexible to respond to new opportunities and new risks, said Mark Haefele, the wealth unit’s chief investment officer.
The financial advice industry has been facing inquiries into its cash sweep programs for years now.
Investor money allegedly went to strip clubs, exotic cars, and landscaping
Procyon adds $415 million in assets under management in New Jersey while Savant picks up a $213 million Southern California planning firm
With a growing number of real estate-rich Baby Boomers aging into retirement, some advisors may be failing to consider all the options available for those clients' assets.
Cornerstone Advisors study reveals compliance bottlenecks stall campaigns weeks after customer opportunities close.
As AI makes financial information more accessible than ever, Lana Hock explains why human judgment, trust, and empathy remain the qualities clients value most in a financial advisor
Northern Trust’s Ken Lassner shows advisors how to convert volatility into after-tax portfolio gains