Singaporean intermediaries increase use of ETFs and ESG

The number of financial intermediaries invested in ETFs and adopting ESG principles has doubled since 2019, research by Fundamental Media shows

Key points:

• The use of ETFs has doubled since 2022, while the adoption of ESG increased from 28% to 55%
• While respondents feel asset managers understand ESG, deliver on it and provide good support on responsible investing, they would like to see more information available on the topic
• 80% of respondents are satisfied with the overall support received from asset managers

Since Fundamental Media’s last study among Singaporean intermediaries in 2019, the use of ETFs and ESG has increased significantly, our latest research has found.

The use of ETFs has increased from 41% in 2019 to 82% in 2022, while the adoption of ESG increased from 28% to 55% over the same period. The increased use of ESG criteria is mostly driven by client requests. While respondents feel asset managers understand ESG, deliver on it and provide good support on responsible investing, they would like to see more information available on the topic.

From September to December 2022, we surveyed 36 financial investment professionals in Singapore to gauge their views on investment trends, support and communications received from asset managers, and media consumption. 

Our research found that 80% of respondents are satisfied with the overall support received from asset managers. This satisfaction is driven by client-facing support, communications and thought leadership.

In terms of communication support, intermediaries in Singapore would welcome more frequent, proactive and personalised engagement from asset managers. When asked about initiatives from asset managers that they most valued during the Covid-19 pandemic, most intermediaries mentioned webinars and market updates via email.

For access to the full report, contact [email protected]