There are also other options for business owners and major shareholders. If your client owns a business, they may already be setting the ESG agenda to promote environmentally friendly systems, practices and products.
This might involve initiating a vote on a change in company behaviour, so policies and practices help goals such as environmental protection, community engagement or gender equality in the workforce (or board).
I would make the broad claim, with some confidence, that most clients support the ethos of tackling climate change, that they are aware of ESG as a strategy and are asking questions about this approach, the impact it can have on both the world around us and their ultimate aims.
As advisers, our role is to assess how this view can be incorporated into portfolios while flagging the benefits and potential risks of doing so.
This is an area where we can bring our experience to bear to add real value to our clients.
Against a backdrop of global concern about the long-term health of the planet, if we can help clients who share that concern to align their own financial planning in service of supporting the effort to tackle climate change while offering pragmatic – even challenging – counsel, we are making a proportionate contribution.
Stuart Bartholomew is principal at Punter Southall Aspire
