UK retail investors have become much more conscious of environmental and social issues than they were before COVID-19. Even more important, investors are now much more likely to act on these ideas. Fund flows in 2020 are clear proof of that.

This shift in attitude is driving profound changes across the UK fund distribution landscape, as our research shows. Asset managers and advisers are now trying to adapt to the new reality.

The firms who emerge as winners will be those who understand both what investors are thinking but also why their views are changing. Clients’ attitudes to investing will continue to evolve as they start to see the impact of their money on the real world. Those firms who understand and adapt to those changing motivations will be ahead of the game.

We’re publishing our Impact of ESG on UK Fund Distribution report next week. A launch event will take place at 10am on 25 February; click here to book your place.