Fewer financial advisors proposing responsible investing: Report

A new report states that while two-thirds of investors are interested in investing their money responsibly, half of their financial advisors have less than 20 per cent of their assets invested this way. 

The report, done annually by the Responsible Investment Association, reveals a trend among financial advisors: strong users of RI tend to stay the course, moderate users are in decline, and there are fewer new entrants. 

In 2023, 41 per cent of the latest entrants in financial advising proposed RI to their clients. In 2025, it dropped to 25 per cent.

The report also shows only 28 per cent of advisors initiate a conversation about RI with their clients, down from 33 per cent two years ago. However, 41 per cent of the clients raise the discussion on RI, up from 34 per cent two years ago.

The association said including questions about RI in the “Know your client” form requested for a financial institution would be a solution, helping advisors identify clients open to discussion and initiate it. 

Wholesalers better educating and supporting advisors about RI products could also help close the service gap, they added.

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