American workers believe their retirement plans should offer responsible investment options and having these options would favourably affect their attitudes toward the plan and their employers, a Calvert Investments survey finds.
Eighty-seven percent of retirement plan participants want investment options that align with their values. This interest was led by women and millennials. The vast majority (82%) say they would select a responsible investment option if one was offered by the plan.
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Eligible non-participants (56%) are more likely to participate in the plan if it offers a responsible investment option. Overall, plan participants express strong concern over social causes, the environment, and “giving back” in some form.
“These findings send a clear signal to employers that employees not only want them to offer a responsible investing option, but that by doing so, they will have more engaged participants,” says Lynne Ford, executive vice-president of distribution at Calvert Investments.
In terms of their own plans, employers need to inform plan participants where responsible investment options are offered. While 28% of plan participants say they believe their plans offer a responsible investment option, a full 50% are unsure.
What is clear, however, is that those who believe their plan offers responsible investing options are more satisfied with both their plan and employer. While only 50% of the participants surveyed say they were “highly satisfied” with their retirement plan, those who believed their plans included responsible investing options were significantly more likely to be in this category.
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