Over 8 in 10 (82%) of advised ESG investors initiated the conversation about sustainable investing themselves, according to new research.

Almost three quarters (72%) of ESG investors have worked with a financial adviser, according to the research from Foster Denovo.

Seven in ten of investors not investing sustainably had not had a discussion with a financial adviser about ESG, suggesting advisers play an important role in giving investors the knowledge and confidence to invest sustainably.

Nine in ten (89%) of the ESG investors surveyed had held a discussion with their financial adviser about sustainable investing.

Overall, a quarter of those surveyed had invested with ESG factors in mind.

Declan McAndrew, head of investment research at Foster Denovo, said: “Advisers are in a key position to offer guidance and clarity, helping to dispel some of the myths and get more people onboard with using their savings to have a positive contribution to the planet. Above all, it is about being client focused.

“Interest in sustainability is only going to increase, and making sure clients have the right information available to make an informed decision that is best for them should be the driving force behind every conversation, particularly in light of Consumer Duty.

“Our advisers are having regular conversations with clients on ESG, which has highlighted a disconnect between people living their lives more sustainably versus where their funds are invested. These conversations have resulted in more clients now investing in ESG, which is not only the right decision for the client, but a move in the right direction for the planet too.”

Six in ten of the investors surveyed were not aware of ESG investing, but over two thirds (68%) of non-ESG investors would be willing to consider investing sustainably.

Almost two thirds (63%) of the investors surveyed said they have changed their minds over the past three years about the importance of the environment, with half (51%) saying they felt very strongly or strongly about the impact that climate change could have on their savings and investments.

Nine in ten (89%) said they were concerned about the impact corporate practices and some large businesses are having on the environment.

Half of investors said they believe that ESG investing would mean lower returns.

Atomik Research surveyed 1,001 UK investors on behalf of Foster Denovo between 24 March and 28 March.