Small business retirement plan pioneer Ubiquity Retirement + Savings (Ubiquity) has added environmental, social and governance (ESG) fund options to its 401(k) offerings.
Plan sponsors now have the opportunity to incorporate socially responsible investments into their plan’s investment portfolios.
“Just like personal values, investment strategies are not one-size-fits all,” says Chad Parks, Founder and CEO of Ubiquity. “With our new socially responsible investment portfolio, small business owners can empower employees with the opportunity to save for the future while applying their savings toward the causes they care about most.”
This news comes amid an increasing demand for ESG and socially responsible investments across the globe. Investments in U.S. ESG funds surpassed a record USD51 billion in 2020, more than double the total from the previous year and a nearly tenfold increase from 2018, according to Morningstar.
“Ultimately, it’s about the power of choice,” says Ashvin Prakash, Ubiquity’s Director of Product Development. “ESG investing has just recently become more accessible to Main Street investors. Offering these options in 401(k)s will give small businesses everywhere a competitive edge and help promote plan participation.”