[GRTV] Demand for ethical advice set to grow

The grandfather of ethical advice in New Zealand, joins Philp Macalister on Good Returns TV.

Spiller, who could be called the grandfather of ethical advice in New Zealand, says it’s unfortunate more advisers are not specialising in ethical advice.

He says the demand is there and it is only going to grow.

“A great opportunity that many advisers might not be realising is that there's going to be a massive transfer of wealth from the older to younger generations,” he tells Philip Macalister on Good Returns TV.

“They're talking about this globally within the industry. So, for many younger people, they do have these ethical values. They do want to ensure that the money they're receiving is invested that way.

“So right across the demographics from grandparents to parents, to children and even grandchildren, what we're seeing is there's this conversation going on about what kind of world do we want to be living in and making sure our money is aligned with that.”

Spiller is encouraging more advisers to embrace ethical advice.  Some good options are to go to the Responsible Investment Association’s (RIAA) annual conference and join up with groups of like-minded advisers.

Spiller has joined an Australian group, the Ethical Advisors Co-op, and is keen to grow it in New Zealand.

There are also various courses available, including one run by the RIAA.

“I'd encourage advisers to really get into it,” he says.

One of the reasons why New Zealand advisers may have been slow to pick on ethical investing is that it’s been put into the “too-hard basket,” he says.

There's a lot on any adviser's plate these days, and the necessity to avoid greenwashing to avoid being inauthentic is increasingly in the spotlight.”

“If an adviser's going to offer a solution in this space, they need to demonstrate that they've done the study, they've done the research, and they can understand the difference between the different levels of ethical investment offerings.

We know there's quite a range from what I call ethical strong to medium to light. And for many advisers getting their heads around the education, the research, the insights that's required is a step too far. But I really encourage everyone to do that.”