New money makes the good earth go around

Most of us grew up with a piggy bank. Even if it was not shaped like a pig, it was some form of physical container to save our coins and the occasional note. It was a quietly sensible way to learn about patience and discipline. 

The question about how to save it, and spend it is under more scrutiny than ever before.

We are already seen the tide turn with millennials being values-driven in their approach to their money and their careers. That includes their investing habits: Millennials spurred the growth of sustainable investing throughout the 2010s — investors contributed $51.1 billion to sustainable funds in 2020, more than double the previous record set in 2019. 

With millennials set to inherit approximately $30 trillion over the next few decades, the financial industry is expected to expand better sustainable investing options to appeal to their money and values. We see the same trajectory from Wall Street to Main Street. Consumers are supporting purpose-led brands. The 2020 Sustainable Market Share Index™ finds that sustainability-marketed products are responsible for more than half of the growth in CPG. 

Investment brands are tapping into this trend. Fidelity has created an account for 13-17 year olds that not only encourages them to save but also empowers them to trade stocks and funds. It’s all done through the mobile app but it will require a parent/guardian to have their own Fidelity account as well. The goal is to recruit first-time investors earlier through financial literacy. Also referred to as the “Clicktivist”, Gen  Z is will accelerate the growth in sustainable investing as their support for causes like  equality and climate change extend to their financial decisions as well.   

Our approach to building Citizen Brands marries the agendas between Investors and Consumers. We see opportunities as well as gaps within the sustainability landscape for brands to differentiate and win.