Defaqto has released a new ESG client preference questionnaire to help advisers better understand their client’s preferences.
The ESG questionnaire, which is launched through Defaqto’s existing risk profile workflow in Engage, produces an ESG preference indicator graph, highlighting the types of ESG-aligned products which may be suitable for that particular client.
In addition, an ESG exclusions indicator graph is also produced, showing the adviser the types of investments that the client would like to exclude from their portfolio.
In addition, Defaqto has introduced additional ESG data filters for DFM MPS and governed portfolios.
Launched in March 2021, ESG filters provide advisers with over 30 data points that can be applied to a population of sustainable funds or used on an exclusionary basis for the wider fund universe.
Defaqto said qualifying funds can then be filtered at a more granular level under sustainability to include certain mandates and product involvement, allowing them to filter funds in line with the client’s ESG preferences.
Pan Andreas, head of insight and consulting at Defaqto, said: “Advisers have been told for some time that they need to embed ESG into their advice processes. However, many could argue that the resources and data to do so successfully haven’t been readily available. After listening to how advisers want and need to work, we’ve developed an end-to-end ESG solution unlike anything else currently available on the market.
“Our ESG questionnaire is robust, comprehensive and easy to use. We provide advisers with data that can be used to aid conversations to discuss the grey areas and visually show a client where their ESG preferences lie. Ultimately, it allows advisers to have more meaningful conversations around their clients’ ESG requirements and helps them make better informed decisions in their research process.”
