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Private bankers, think impact investing: One third of wealthy clients will go elsewhere if you don’t

Environmental concerns are top of mind for many, including wealthy investors who are increasingly watching where their money is going.Postmedia file photo

Some of the world’s richest people may take their money away from private bankers and wealth managers unless they offer more impact investments and philanthropy deals, according to family offices and foundations.

RS Group Chair Annie Chen, whose Hong Kong-based family office is dedicated to impact investments, said at the Asian Venture Philanthropy Network conference in Singapore Wednesday that despite many banks promising to offer more deals that do good, front-line bankers and relationship managers often failed to do so.

Her comments come as private bankers prepare for the transition of wealth away from older family members and toward next-generation investors who have expressed a desire to change the world for the better as well as make money. More than one-third of wealth clients surveyed by Ernst & Young LLP in a report last month said they’re planning to switch financial service providers within the next three years because they’re dissatisfied.