We are currently experiencing a shift in wealth, some $41tn will move from the baby boomer generation to the millennial generation over the next 40 years. With the wealth transfer there has been a shift in investor attitude, with both profit and purpose being sought after. This shift in attitude raises hopes that such investments will increasingly address some of the world’s biggest problems.
The mentality of millennial investors has shifted away from the simply profit mentality of the previous generation. We have seen a change in finance trends in recent times, and it is becoming increasingly apparent that investment shifts are needed for sustainable finance. The millennial generation are blending both purpose and profit, to invest in a fundamentally different way to their predecessors.
The baby boomers are working alongside the millennials, collaborating proven knowledge with the energy and fresh ideas of the young, to create a thriving future for finance.
There has been a rise in clean energy investments, from innovative investors such as Black Coral Capital. ‘Old Guard’ investors have noticed the change: Morgan Stanley’s former CEO is on the board of Lending Club, just one of many examples.
There has never been a better time for this sort of investing. Significant change is required for many of the world’s biggest problems – energy, education, housing, resource scarcity.