Millennials ‘would invest more into pensions for worthy investments’

UK millennials would save more into their pensions if they felt it would benefit worthy causes, research has found.

Many in the 20s-30s age bracket feel disgust towards companies which they claimed had irresponsible investment practices, survey results suggest.

The views of 2,500 workers in that age bracket were collated by Adoreboard, a Queen’s University, Belfast-based technology firm which measures human emotions.

The research uncovered a wide disconnect between how millennials feel about their pensions and what schemes currently deliver, with only a fifth indicating they felt they were aligned with their values.

Almost half of the respondents (45%) would be willing to make additional contributions if they believed responsible investments were incorporated in pension funds.

Read on...

More than half (51%) believed responsible investing should be built into the default investment fund.

Of those willing to make additional contributions, the research claimed over two-thirds (70%) would contribute an extra 1%-3% of their monthly salary, while 14% would pay an extra 4%-5% – the equivalent of up to £1.2 billion a year.

Chris Johnston, Adoreboard chief executive, said millennial workers are more conscious about societal issues such as climate change.

“When reflecting on the link between companies and their values, people expressed high intensity emotions such as trust towards companies that take responsible investment seriously,” he said.

“Fundamentally, a better understanding of how employees feel can have significant business implications and in this case, billions potentially added to the future financial welfare of UK workers.”

Pensions expert David Whitehair, head of Franklin Templeton, added: “Our industry needs to stop seeing savers as statistics and better understand them as people.

“Through better aligning themselves with topics their members are passionate about, schemes can help drive engagement and ultimately look to boost contribution rates.”

We need your help to keep speaking the truth

Every story that you have come to us with; each injustice you have asked us to investigate; every campaign we have fought; each of your unheard voices we amplified; we do this for you. We are making a difference on your behalf.

Our fight is your fight. You’ve supported our collective struggle every time you gave us a like; and every time you shared our work across social media. Now we need you to support us with a monthly donation.

We have published nearly 2,000 articles and over 50 films in 2021. And we want to do this and more in 2022 but we don’t have enough money to go on at this pace. So, if you value our work and want us to continue then please join us and be part of The Canary family.

In return, you get:

* Advert free reading experience
* Quarterly group video call with the Editor-in-Chief
* Behind the scenes monthly e-newsletter
* 20% discount in our shop

Almost all of our spending goes to the people who make The Canary’s content. So your contribution directly supports our writers and enables us to continue to do what we do: speaking truth, powered by you. We have weathered many attempts to shut us down and silence our vital opposition to an increasingly fascist government and right-wing mainstream media.

With your help we can continue:

* Holding political and state power to account
* Advocating for the people the system marginalises
* Being a media outlet that upholds the highest standards
* Campaigning on the issues others won’t
* Putting your lives central to everything we do

We are a drop of truth in an ocean of deceit. But we can’t do this without your support. So please, can you help us continue the fight?

The Canary Support us
  • Show Comments
    1. Harsh reality dictates, to all but the extremely wealthy who can afford the luxury of indulging/displaying ‘conscience’, necessity of hard-headed financial investment by pension fund or otherwise. That means buying into good yielding shares in companies with expectation of stable medium term prospects. Many such companies are not ‘ethical’ e.g. arms sales, tobacco, oil, and exploitation of cheap labour.

      Under current societal arrangements it is every man for himself. Nobody will offer succour to people in self-inflicted penury resulting from ‘ethical’ investing. Therefore, I have investments in oil, tobacco, armaments, and other morally dodgy enterprise, along with staples such as retail outfits. The fund from which I draw pension does likewise and I have no say in its rather sound, financially rather than ethically, investment decisions.

      Distinction ought be drawn between buying extant shares in companies from their current holders and buying newly floated shares. For the latter one may indulge in refusal on ethical grounds whilst being aware that such decisions by small private investors have no effect on the greater scheme of things. Dis-investing on moral imperatives is foolish because if part of an orchestrated ‘movement’ one is likely to accrue a loss whilst persons of robust sentiment shall gain.

      The point arising from the foregoing is that individuals ought respond pragmatically to circumstances as they are rather than as they might be. That does not preclude supporting a movement, or political party, intent upon changing the rules of the game. Meanwhile, eschewing empty gestures is prudent.

    Leave a Reply

    Join the conversation

    Please read our comment moderation policy here.