2024 Advisor RI Insights Study: Topline Report

September 17th, 2024

In 2023, 65% of surveyed Canadian investors expressed interest in responsible investment (RI). However, only a small percentage of those surveyed reported that their advisors are initiating discussions around RI. Why are so many financial advisors sitting on the sidelines of responsible investment?

With the support of AGF Investments, Mackenzie Investments, and TD Asset Management, the RIA launched the 2024 Advisor RI Insights Study to find out.

Key Findings

  • Reasons not to offer RI currently centre around a lack of knowledge and resources, or a perceived administration burden. Product availability is not a barrier.
  • Education and knowledge of RI are tightly linked to the overall use of RI. The more confident an advisor is about RI, the more extensively they will use it in their practice.
  • Advisors rely on investment companies – especially wholesalers – for information, and are likely to turn to them with questions when introducing or increasing their RI usage.
  • Investor demand is driving advisor adoption.
  • Nearly 90% of RI users anticipate the positive growth of RI over the coming years, and non-users are open to using RI.

Influences on initial decision to offer RI

Of current RI users, nearly four in ten say their clients are the reason they started offering RI.

Reasons advisors offer RI in practice

 

Beyond client-driven requests, advisors are recognizing the benefits of incorporating RI into their practice.

The responsible investment industry continues to strengthen and evolve, with:

  • Significant investor interest in RI solutions.
  • Supportive regulatory guidance.
  • Increased RI product availability.
    High expectations RI will continue to grow and become mainstream.

There has never been a better time to start the conversation.

Client and Advisor Fulfillment Gaps

The RIA is ideally positioned to support financial advisors through our commitment to delivering best-in-class RI education, programming, and collaborative opportunities.

For more information on the 2024 RIA Advisor RI Insights Study, or to learn more about RIA resources for your practice, reach out to membership@riacanada.ca.