UK retail investors show early signs of interest for carbon neutral fund share classes

Kana Earth study

Interest for carbon neutral share classes of a fund is slowly growing among UK retail investors, with close to a third (31%) likely to choose these if available to them, a Kana Earth study has found.

The study also found that around two thirds (65%) of respondents would be more likely to invest in funds providing more information on their carbon footprint and transparency on what they are doing to reduce it. Carbon neutral fund share classes grant investors an option to offset the carbon emissions attributable to their investments at a "modestly higher management fee".  While 35% of surveyed retail investors said they would not be willing to pay extra for the manager to offset any emissions for the companies held in the fund, 50% said they would pay up to 10% more in management fe...