Pension company launches ESG investing to climate-conscious investors

Bristol, United Kingdom – The Sustainable Pension Company (TSPC) has launched today (Tuesday, 21 September). The company is providing advised access to ESG and sustainable investing options with an impact tilt to the everyday, concerned investor.

The telephone-based service lets people invest their retirement savings into sustainable funds that are in line with their values.

TSPC, which has been launched by sister company, Aspirations Financial Planning also provides a host of information free for download for interested investors.

TSPC comes at a time when more clients are concerned not only about making their money last throughout retirement but also about making a positive impact on the world around them.

TSPC has been born at a time of great positive ESG momentum: we are all too aware of the harsh realities of climate change. TSPC has also been inspired by the Make My Money Matter campaign which calls on people to ‘green their pensions’.

Roger Milbourn, TSPC’s Investment Committee Chair, says: “Chances are you have a pension, whether that be a workplace or personal pension. So few of us know where these pensions are being invested and I think many ESG-conscious investors would be surprised, and even horrified to know that they have been invested in industries that not only contribute directly to unsustainable practices, but also ones that are potentially harmful to the planet.”

While attractive to ESG-conscious pension savers, sustainable investing is also backed by research from the likes of Morningstar which found that 60 per cent of sustainable funds outperformed their non sustainable counterparts in the last decade.

Roger continues: “During the market downturn, due to Coronavirus in 2020, a lot of ESG and sustainable funds did much better than the traditional approach. As ESG and sustainable funds tend to have more growth stocks than value stocks, volatility is typically greater although the hope is that the longer term returns reflect this extra risk. It’s widely believed that the Governance part of the ESG approach should lead to better returns in the long run, given that by its very nature, you are investing into companies that are deemed to have better management and corporate structures than their counterparts.”

With so many companies falsely promoting their green credentials (greenwashing) TSPC is fully committed to ESG and sustainability and is proud to put this ahead of traditional investment theories.

Roger adds: “The area of sustainable investing and ESG investing is very wide and can encompass many different areas. The United Nations Sustainable Development Goals provide a useful framework within which fund managers can demonstrate the areas their investment portfolios focus on. Moving beyond the flow and assessment of information, it is also important to determine how investing in these firms can help to do good.

“One such way is through active engagement where the shareholders can influence the management of the company. A fund manager is uniquely placed to make their own impact upon the company given they can often have a sizeable stake in it.”

TSPC offers an attractive 1% fee on pension transfers and contributions, which is capped at £5,000 and can be paid from the pension.

Any investors who have strong views about the future of our planet and want their retirement money to be invested in ways which make an impact should speak with us.

Get in touch with us today and find out how you can become a pension hero.


T. 0330 024 5117