Majority of Generation Z investors identify Green and Sustainable investing as the biggest trend of 2021

Bloomberg hosts inaugural “Next-Gen Connect” event with TARA and GAIN to connect top investors with university students across Asia, Europe and Middle East

Students interact with Virginie Maisonneuve & Farah Foustok

Green and sustainable investing will be the biggest investment trend of 2021, according to a Bloomberg survey of university students across Asia and EMEA, held at last week’s “Next-Gen Connect” event. For the majority of Generation Z students polled, ‘companies with a purpose’ is a key driver for their investment decisions and many are investing ‘for a better tomorrow’.

The Bloomberg Women’s Buy-side Network, TARA and GAIN joined forces to co-host “Next-Gen Connect: 2021 and the Future of Investing,” a global virtual exchange that connected 20 top investors from Asia and EMEA with female university students in both regions to explore the world of investing. Over 600 students from leading universities across 48 countries participated in the virtual event, where a range of topics were covered including the 2021 investment outlook, alternative investing, technology disruptions and impact investing.

Students had an opportunity to listen and interact with leading investors including Farah Foustok, CEO, Lazard Gulf; Geraldine Buckingham, Chair and Head of Asia Pacific, BlackRock; Elissar Farah Antonios, CEO, Middle East and North Africa, Citibank N.A.;Tilly Franklin, CIO, Cambridge University Endowment Fund; Mark Konyn, CIO, AIA Group; Virginie Maisonneuve, Founding Partner & CEO, MGA Consulting and Amy Cho, CEO of Hong Kong and Head of Intermediary, Asia Pacific, Schroders among others.

The Gen Z investment mindset

One of the key themes emerging from the conference is that Gen Z investors are intent on ensuring that they invest in sustainable companies, and in the services based economy, driven by disruptive tech and digitalization. Key highlights from the student polls included:

• 46% of the polled students made personal financial investments in 2020
• Of the students who made investments, 75% invested in stocks, 7% invested in bonds, 7% in Bitcoin and the remaining 10% in other assets
• Majority (51% of the polled students) identified green and sustainable investing as the trend with the biggest investment potential in 2021; while 23% chose technology; 13% chose healthcare and 8% chose cryptocurrency
• Almost half (45%) of the respondents said that think investing is important ‘for a better tomorrow’; while 25% said they are investing to feel financially secure, and 19% of them were looking to maximize wealth by investing
• Majority (40% of the students) said the main driver for their investment decisions was ‘Companies with a purpose’; while 22% saw emerging and innovative technologies as the key driver.

Philippa Thompson, head of Buyside, APAC, Bloomberg, interacts with panelists

Farah Foustok, CEO of Lazard Gulf and Founder of TARA, said, “It was incredible to see the level of not just interest, but also the clarity of thought the students shared when it comes to investing. Millenials and Zillenials have a very different outlook towards investing and how they intend to spend their money. We believe this could bring about structural shifts to global investing and the future of sustainable finance.”

The event also discussed ways to include more women into the investment community. Virginie Maisonneuve, Founding Partner & CEO, MGA Consulting and Founding member, Bloomberg Women’s Buy-Side Network said, “Attracting women to asset management is absolutely critical to the success of the industry. It is the cornerstone of building a more diverse, sustainable and resilient industry for the benefit of all. At a time where the world is in a delicate balancing act, it’s imperative to support financial inclusion and promote the best use of capital — not only for financial returns but also to yield multiple long-term stakeholders benefits, from retirement to education.”

This event, also supported by NGO Junior Achievement in Asia, is part of Bloomberg Corporate Philanthropy‘s global education initiative that promotes training and digital literacy opportunities for young women around the world. Philanthropy and service are an integral part of the Bloomberg culture, anchored on giving back to cities and local communities and using the expertise of employees and partners to create lasting impact.

To review the recorded sessions of Next-Gen Connect, please visit:
https://bbgevent.app/tara-gain/#/b19bccc91375ee1e6dbee44a82614622

To be part of the Next-Gen community, sign up here: https://taragain.bbgevent.com/

About BWBN

The Bloomberg Women’s Buy-Side Network (BWBN) is an informal community for women in asset management in Asia. Launched in 2018 in Singapore, the network has expanded to local chapters in India, Japan and Hong Kong and is helmed by some of the most influential buy-side leaders in the region. The BWBN convenes women in the buy side on global investment trends, serves to promote inclusion in the industry and, through active mentorship, educates the younger generation on the diversity of buy-side careers. 

About TARA

At TARA, we share knowledge and connect female university students to inspiring role models. We encourage organisations globally to create collective impact by collaborating to build a better future.

About GAIN (Girls Are INvestors)

GAIN is a community of investors, with charitable status, set to change the staggering lack of gender diversity in investment management, from the ground up. Our purpose is to inform and inspire. We inform young women with online resources, bringing helpful information on careers in investment to their fingertips. We inspire young women with a strong network of female role models, who speak in high schools and universities around the UK and feature on our online channels, delivering compelling and high-impact messages on the many benefits of investing as a career.