Women are increasingly powerful players in the financial markets and want to push responsible investment practices, a global survey has found.

A survey of female investors shows the overwhelming majority (83 per cent) of them want their market clout used in "responsible" ways, underscoring a trend of money management where non-financial outcomes such as improving the enviroment or fighting poverty are seen as key drivers of behaviour.

The findings come from a report by Moxie Future. The organisation polled 2,536 women in Australia, China, Germany, the UK and the US. The survey was conducted through online interviews during March and April 2017.

Among the women surveyed for this report, 69 per cent they urgently wanted to invest responsibly. That figure is even higher in China (91 per cent) and the US (74 per cent). Around 63 per cent are motivated to be responsible investors, and in China (84 per cent) were strongly motivated to be responsible.

The trend of what is typically called socially responsible investing has been marked in recent years. Some forms of SRI screen out "undesirable" firms such as those producing tobacco products, firearms, or involving use of child labour, production of global warming gases and pollutants. Some types of SRI will seek out "good" firms rather than merely cut out the "bad". There is debate on whether, over the course of an economic cycle, such approaches improve returns and reduce risk. Another term to have gained traction is "impact investing", where money is put to work to achieve a specific outcome, such as reducing illiteracy or criminal re-offending, while also generating a return.

What does it mean?
The respondents were asked what the term "responsible investing" meant to them. And 41 per cent said it means looking at the broader social and environmental impact of their investments and not just the financial returns. 

For 39 per cent, it means investing according to their personal beliefs and values. However, some perspectives on the definition were muddled, with some 18 per cent of women having no idea what it means, and nine per cent thinking it could mean simply giving money to charity.

The area of investing of most priority for those interviewed was poverty and income equality (59 per cent), followed by access to healthcare (53 per cent) and Climate Change (49 per cent).

The women surveyed are also concerned about corporate behaviour (including corruption and bribery), pollution (air, water and soil), access to education, impact on local communities, gender inequality, and sustainable and responsible supply chains, with LGBTQ discrimination the lowest rank concern.

Confidence
Confidence is a big theme in the investment world, as this publication interviewed UBS about how its Unique programme is looking to increase the financial confidence of one million women.

Within the Moxie Future report, it found 43 per cent of women do not feel confident in terms of making decisions regarding their financial investments. Most bullish in their own abilities were women in China (68 per cent) and of that group, nine per cent expressed high levels of confidence. In second place was US women (59 per cent) , and of that 16 per cent expressed high levels of confidence. 

Of the five countries, women in Germany were most lacking in confidence (54 per cent expressed low confidence). 

Advisors
The views of women increasingly count in investment. For example, according to BMO Wealth Institute, women are the primary breadwinners in 40 per cent of American households. In the US alone, women control $14 trillion in personal wealth and that number is expected to grow to $22 trillion by 2020.

Firms are always looking to increase the number of female clients, due to their increase in wealth over the past ten years, and this publication has spoken to Julius Baer and UBS about the ways they try to connect to their female clients. The report found that 57 per cent of women surveyed, around the world, do not have a financial advisor. 

Significantly more than half of women in all markets, except the US, are not being counselled by a financial advisor. Germany and the UK were the markets with lowest financial advisor usage (37 per cent and 33 per cent, respectively). 

Moxie Future said the financial industry could do more to connect with female investors, pointing to untapped potential in this space.

"The research shines a light on the mindset of today's female investors from their priorities when making investment decisions to the concerns that may be deterring them from investing responsibly," says Moxie Future's founder Jessica Robinson. "While our study has found that women are generally positive about responsible investing, it has uncovered the practical difficulties that they face when committing their money, not least a perception among women that the financial services industry is failing to offer advice that aligns with their goals and interests.

Robinson added: "What this tells us is, not only is there a disconnect between women and the financial services sector, but there are untapped opportunities for the industry to work more closely with female investors to deliver products and services specifically designed around them. This includes catering to the investment preferences of women and addressing their needs in a more meaningful way."

Moxie Future is an education, insight and community platform helping women to grow wealth through responsible and impact investing for a more sustainable world, it said.