Date: 9/30/2014
Source: Incapital
Author: Incapital

Financial Advisors Report Strong Client Interest in Values-Based Investing

Most Advisors Believe Values-Based Investing is Just Commencing/Part of a Longer-Term Trend 

Nearly 5 of 6 financial advisors say they are interested in values-based investing, according to a national survey commissioned by Incapital, a leading underwriter and distributor of a wide range of securities and investment products. 

83% of financial professionals participating in Incapital’s online survey say they are interested in values-based investing -- often used interchangeably with socially responsible, sustainable and impact investing. 

Growing client demand was the top reason cited by financial advisors when explaining their increased participation in values-based investing.  44% of advisors mentioned client demand, while 41% of advisors saw values-based investing as a way to differentiate themselves from competitors.  

In what many view as a healthy sign that the market for values-based investing is maturing, advisors say they are increasingly looking for products that provide a social or environmental impact combined with reasonable financial returns.

52% of financial advisors say that both financial and social impact goals are paramount when selecting investments for their clients.  28% of those surveyed said financial considerations are paramount, while 12% said social impact considerations are most important. 

“We have seen a shift over the last few years in how investors and their financial advisors fundamentally think of values-based investing,” said Incapital Managing Director Jim Schaberg.  "The survey finds that while many financial advisors are looking for products that provide a social or environmental impact, they also want those investments to provide a financial return competitive with the overall market. Given the increased awareness among both advisors and their clients, more frequent offerings and a wider range of values-based investment options are additional indications of this sector's growth potential."

Advisors were nearly unanimous in their belief that the rising level of interest positions values-based investing for further growth.  45% of advisors see values-based investing as continuing to evolve, while 29% said it is part of a longer trend and 23% see this field of investing as just commencing.

About the Research 

Incapital conducted the national online survey of 322 financial professionals from September 18-25, 2014. The survey respondents represented more than 80 firms nationwide.  Full results of Incapital’s value-based investor non-scientific survey are available at 

About Incapital 

With eight offices in the U.S. and Canada, Incapital has established itself as a leading underwriter and distributor of a wide range of securities and investment products to broker-dealers, asset managers and institutional investors.  Incapital originates and distributes offerings across multiple asset classes including fixed income, equities, equity hybrid securities, structured notes, annuities and unit investment trusts. Incapital has been an active participant in values-based investing since 2005 with the introduction of Calvert Foundation's Community Notes program and has recently expanded its involvement in this section with the launch of its Legacy platform.

Investing involves the risk of loss and any financial product sold prior to maturity may be worth more or less than the original amount invested. The information contained herein does not constitute an offer to sell or a solicitation of an offer to buy securities. Investment products described herein may not be offered for sale in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful or prohibited by the specific offering documentation.

©2014 Incapital. All rights reserved. Securities offered through, and unit investment trusts sponsored by Incapital LLC, Member FINRA/SIPC. Annuities and insurance products offered through Incapital Insurance Services LLC, Member FINRA/SIPC. 200 South Wacker Drive, Chicago, IL 60606.

For more information:   

Jim Schaberg, Incapital LLC

Tel: 312 379 3752