Paul: And how do you see this part of the industry developing from your perspective as a millennial?

Sonya: I think long-term investors can benefit from screening for factors like environmental impact or gender and racial diversity on boards of directors and in management. When you find companies that are forward thinking around solutions to environmental issues, for example, those are companies that can end up adding to the bottom line. Think of ESG screening as another component to consider when looking at a company’s financial data.

Paul: Sonya and Bob, numerous names are being used to describe how ESG screening works. What do you think?

Sonya: It’s tricky. We always come back to the question: Is it impact? sustainable? green, SRI or ESG? It would be helpful if we could all agree on one name that means something to clients. But it’s the client’s values that matter most. We need to ask what is important to them and then have different investment options available. 

Bob: I agree with Sonya that what’s most crucial is talking to people about their values. The one phrase I use over and over is, “How do you align your investments with your values?” I think that’s what advisors in this industry are here for, and millennial professionals have a tremendous opportunity to expand their business in this way. And you end up with clients who are a lot like you.

Sonya: I agree. While someone is waiting in our reception area, I can guess who their advisor is with almost 100 percent accuracy! I think advisors and clients tend to share a lot of the same attributes. It’s wonderful to see actually.

Bob: I recently looked through my client base to see what the age range is. I’m 67, and 56 percent of my clients are in their 60s. Only 9 percent are under 50, and that surprised me.

Paul: Sonya and Bob, what do you think the opportunities are for young people in this industry today?

Sonya: The older generation of ESG professionals is very welcoming and willing to share time and advice. Being a young advisor is difficult. I’ve said that your clients tend to be like you, so if you’re in your twenties, even if you’re building a successful career, your clients likely don’t have big investment accounts yet. So I suggest young people work with someone from the next generation up, as a paraplanner or junior advisor. While you learn the business end, you can help them to grow their practice and perhaps eventually take over the practice. I’ve seen that happen a number of times.

Bob: I’m in good health and don’t have any plans to retire, but many older advisors are planning their retirement and looking for the right young advisor to transition their clients to.

And millennials in the industry have a great opportunity given the ratio of advisors who specialize in sustainable and impact strategies compared to the percentage of clients who would like to be investing this way. There are so many investors out there who have social or environmental concerns and want to make a difference.