View all newsletters
Receive our newsletter - data, insights and analysis delivered to you
  1. News
November 5, 2020

Avaloq releases ESG investment solution for wealth managers

By Patrick Brusnahan

Avaloq has launched an ESG investment solution for banks and wealth managers that allows them to build personalised portfolios for clients.

Free Report
img

Analyze opportunies within the wealth management market in APAC

GlobalData’s ‘Asia-Pacific Wealth Management: Market Sizing and Opportunities to 2026’ report provides a comprehensive overview of the Asia-Pacific (APAC) wealth management market.
  • The report analyzes the APAC wealth and retail savings and investments markets. This includes affluent market size, both by number of individuals and the value of their liquid assets.
  • The affluent population grew by 5.3% in 2021 and is expected to grow at an AAGR of 4.8% between 2022 and 2026.
  • The value of liquid assets held by the affluent segment surged by 8.4% in 2021, backed by economic recovery. HNW individuals’ financial wealth grew by 12%, while mass affluent individuals’ wealth grew by 6.0%.
  • The report provides an analysis of factors driving liquid asset growth. It is also split into asset classes - equities, mutual funds, deposits, and bonds.
  • The affluent population are more risk-tolerant and invest a significant proportion of their investments in risky assets such as equities, compared to emerging affluent and mass market individuals.
The report also provides data and insights on the size of offshore holding of HNW investors in the APAC region.
by GlobalData
Enter your details here to receive your free Report.

The solution is aimed at helping firms capitalise on the market shift towards ESG investing. In addition, it ensures compliance with MiFID II for companies in the EU.

Avaloq’s ESG investment solution uses a range of adaptable, third-party feeds and intuitive functionality to allow wealth managers and front-office staff to build appropriate portfolios.

Furthermore, advisers can match client needs through a range of filters and tools, such as scorecards, “green” benchmarks, exclusions, and norms-based screening.

MiFID II has an amendment, expected to come into force in Q4 2021, that means banks and wealth managers will have to take into account a client’s ESG preferences when deciding suitable investments.

Martin Greweldinger, Avaloq group chief product officer, said: “For many people, ESG has become the most significant trend in business and in investing – one that, given the fundamental and serious nature of the issues being tackled such as climate change, will likely define the future of the asset and wealth management sectors. While the ESG market has grown rapidly, it is very likely to accelerate much further as investors, particularly younger market segments, continue to reallocate assets with specific ESG criteria and goals in mind.

“One challenge for providers is that there are no rules defined by regulators or standard setters for how the ESG preferences should be collected – it is considered an area of competition between investment companies. As such, we believe that banks and wealth managers that can offer the most comprehensive ESG service will be the ones that see stronger market growth. This is why Avaloq’s ESG investment solution will be available in the new Avaloq Wealth platform starting next year and will ensure comprehensive features along the investment process like ESG profiling, ESG construction and ESG analytics.”

44% of expert investors have stated that sustainable investments lead to higher returns, according to new research.

Investors in America and Asia are especially looking at sustainable investments, while Germany and Europe slightly lag behind.

Free Report
img

Analyze opportunies within the wealth management market in APAC

GlobalData’s ‘Asia-Pacific Wealth Management: Market Sizing and Opportunities to 2026’ report provides a comprehensive overview of the Asia-Pacific (APAC) wealth management market.
  • The report analyzes the APAC wealth and retail savings and investments markets. This includes affluent market size, both by number of individuals and the value of their liquid assets.
  • The affluent population grew by 5.3% in 2021 and is expected to grow at an AAGR of 4.8% between 2022 and 2026.
  • The value of liquid assets held by the affluent segment surged by 8.4% in 2021, backed by economic recovery. HNW individuals’ financial wealth grew by 12%, while mass affluent individuals’ wealth grew by 6.0%.
  • The report provides an analysis of factors driving liquid asset growth. It is also split into asset classes - equities, mutual funds, deposits, and bonds.
  • The affluent population are more risk-tolerant and invest a significant proportion of their investments in risky assets such as equities, compared to emerging affluent and mass market individuals.
The report also provides data and insights on the size of offshore holding of HNW investors in the APAC region.
by GlobalData
Enter your details here to receive your free Report.

NEWSLETTER Sign up Tick the boxes of the newsletters you would like to receive. A weekly roundup of the latest news and analysis, sent every Wednesday. The industry's most comprehensive news and information delivered every month.
I consent to GlobalData UK Limited collecting my details provided via this form in accordance with the Privacy Policy
SUBSCRIBED

THANK YOU

Thank you for subscribing to Private Banker International