Wealthy investors in Middle East prefer ESG investments - UBS

Wealth manager says sustainable investments can deliver similar or higher returns to traditional portfolios

  
Elevated view of modern skyscrapers along Sheikh Zayed Road, Dubai. Image used for illustrative purpose.

Elevated view of modern skyscrapers along Sheikh Zayed Road, Dubai. Image used for illustrative purpose.

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The world’s biggest wealth manager, UBS, said that sustainable investments are now the firm’s preferred solution for private clients investing globally. UBS claims that it is the first major global financial institution to make this recommendation.

According to UBS, which manages $488 billion in core sustainable assets, traditional investments will be most suitable in some circumstances, but a 100 percent sustainable portfolio can deliver the same or higher revenues.

“Year to date, major sustainable indices have performed better than traditional equivalents,” UBS said in a statement.

Ali Janoudi, Head of Middle East and Africa at UBS Global Wealth Management said: “Middle Eastern clients have expressed increasing interest in investing sustainably.

“Sustainable finance is firmly embedded in UBS’s strategy, and we believe this latest step can create new opportunities for investors in our region.”

Tom Naratil, co-president of UBS Global Wealth Management and President of UBS Americas, said: “COVID-19 has put the exclamation point on one of the most important shifts in financial services in a generation.

“The pandemic has brought the vulnerability and interconnected nature of our societies and industries to the forefront of investors’ minds and shown that sustainability considerations cannot be ignored.”

(Writing by Imogen Lillywhite; editing by Seban Scaria)

(imogen.lillywhite@refinitiv.com)

Disclaimer: This article is provided for informational purposes only. The content does not provide tax, legal or investment advice or opinion regarding the suitability, value or profitability of any particular security, portfolio or investment strategy. Read our full disclaimer policy here.

© ZAWYA 2020

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