Investment20/20 Newsletter - January 2021
This issue of the Investment20/20 newsletter explores how the industry is giving young people confidence, following the economic impact of COVID-19.
Chair of The IA
Our people are the industry’s most valuable asset, we need to invest in our future talent.
We are only a few weeks into 2021 and its clear that the ferocity of the second wave of the pandemic and the pace of economic and political change have intensified. Financial markets have taken the elevated uncertainty in their stride and the investment industry has proven remarkably resilient.
Investing in future talent has never been more important."
That’s partly due to technology that made remote working possible but in my view is largely due to the industry’s most valuable asset - our people. Their ability to adapt to different ways of working has been truly remarkable. This resilience is to be celebrated but we also need to accept that the resilience also come at a cost that is often felt by individuals rather than firms. Our youngest generation of talent, the most tech savvy, has undoubtedly seen the biggest impact on their career and development aspirations. The pandemic put a lot on hold as we all focused on day-to-day delivery.
It’s also a sad but well documented fact that the economic dislocation brings greater collateral damage for those about to enter the jobs market as they finish their education. Previous recessions have been accompanied by “lost generations” of talent and this one is no different though the pandemic may be even more pernicious as it deepens inequality of income, wealth and opportunity.
For an industry so dependent on talent this is a real issue. After all it’s the past investment in talent that has created the resilience witnessed over the last twelve months.
We all need to play our part in building the sustainable recovery. That’s precisely where Investment20/20 comes in - offering an industry-wide approach and outreach into the wider community. Investment20/20 offers a multi award-winning talent programme for investment management, through supporting over 1,700 young people by giving them a foot on the ladder of our industry. And its initiatives, including the Government’s Kickstart scheme, ensure it engages with people furthest away from our industry.
Investing in future talent has never been more important. Through Investment20/20, you can do it in a sustainable and diverse way and help improve the industry’s remarkable resilience.
Keith Skeoch, Chair of the IA
Keith Skeoch, Chair of The Investment Association
Our industry plan to support Kickstart
Kickstart Work Placements
The UK’s unemployment figures underline the huge impact COVID-19 is having on the employment prospects of young people across the UK. In December Job Centre Plus reported that youth unemployment had increased to 14.5%, three times higher than the UK population. Young people claim unemployment benefits increased by a staggering 120% between March and November last year.
To mitigate the scarring impact of long-term unemployment, Investment20/20, the IA’s talent solution, is encouraging investment managers to join an industry-wide initiative facilitating the Government’s Kickstart programme of six-month’s work experience for 16-24-year-olds on Universal Credit and at risk of long-term unemployment. Finding your first job is daunting enough, but faced with the worst jobs market in a generation, young people with little or no work experience will struggle to get their foot on the ladder without this essential intervention.
As part of the industry’s Kickstart scheme, Investment20/20 is acting as the conduit between the industry and the Department for Work and Pensions (DWP) and has secured the necessary 30 roles to take part. Members taking part will pay the London Living Wage to each workplace participant as the industry will be self-funding the placements at no cost to the taxpayer.
The development of work placement participants will be supported by Investment20/20’s award winning Think Investments and insight sessions that complement on-the-job training and provide an industry-wide perspective.
While 30 work placements is a strong start, we know our industry can do more. If your firm isn’t already taking part, please join us and help young people get the experience they need to move into sustained employment. For further details please click here and contact firstname.lastname@example.org.
- Border to Coast
- Brooks Macdonald
- HSBC Global Asset Management
- The Investment Association
- J O Hambro Capital Management
- J.P. Morgan Asset Management
- Jupiter Asset Management
- M J Hudson
- Neuberger Berman
- Orbis Investment Management
- Principal Global Investors
- Standard Life Investments
Tim Stumpff, CEO of Principal Global Investors says, "The global pandemic has had an outsized economic impact on those in society who were already the most economically vulnerable. The Kickstart Scheme is designed to help alleviate that impact. All of us, but especially those - like the investment industry - who have historically ‘done quite well,’ have an obligation to do our part to help others build a better future. Participation in this programme not only helps achieve that goal but also helps with efforts to make the investment industry more inclusive, by building connections to a broader, more economically-diverse base of potential job candidates than our industry has traditionally recruited from.”
Young people need reassurance that the labour market still holds opportunities for them. Schools, colleges and universities are reaching out to Investment20/20 to show their students that investment management has entry level roles and young people from a diversity of backgrounds are welcome.
We are increasingly utilising Instagram with members to showcase opportunities in our industry for young people. Students posted questions direct to five brilliant Morningstar ambassadors during our latest Instagram Q&A, and gained first-hand advice and guidance from Shanice Bishop, alumnus trainee, as well as Jamie Forman, Fabio Peyer, Jamie Goodwin and Alexandre Breuillard. Watch this space for future Instagram Q&A’s!
During February’s National Apprenticeship Week, pre-recorded Q&A videos featuring industry apprentices have been requested by schools with a reach of over 13,000 students. Apprentices from member firms will be showcased across all our social media platforms, demonstrating to young people the benefits of becoming an industry apprentice at your firms. Additionally, through an Instagram Q&A students and current apprentices will connect and hear first-hand about this route into the sector. We have similar plans for Scotland’s National Apprenticeship Week and Careers Week in March.
Scotland has been a focus for us with undergraduates and postgraduates from the University of the Highlands and Islands, University of Stirling, Queen Margaret University, University of Edinburgh, Robert Gordon University, University of Aberdeen and Edinburgh Napier University, among others, taking part in our Think Investments and Virtual Careers Insight programmes, connecting them to employers including Artemis, Franklin Templeton Investments, Martin Currie, Walter Scott, Ninety One, BNP Paribas Securities Services, Invesco, Santander Asset Management, Fidelity, Morgan Stanley Asset Management and Aberdeen Standard Investments.
This year has been tough and especially for young people eager to get into work. This is why the work of Investment20/20 has been critical, giving young people in Croydon a life line with a way into the industry.”
Kirsty McKay, Graduate Recruitment Manager at Edinburgh Napier University said, “We were delighted to partner with Investment20/20 to help select students for their Think Investments and Virtual Careers Insights programmes. As an applied and inclusive university, we recognise the importance that exposure to industry has in helping our students to develop their skills, grow their networks and inspire their career aspirations. Taking part in these programmes gave our students the opportunity to do all of this! The valuable insights given to students across the two programmes helped to dispel the common misconceptions about working in the financial sector and showed our students how to excel at the recruitment processes expected within this. This will no doubt make our students an asset to any graduate employer! We can’t wait to watch each of them progress in their careers after graduation!”.
Our work with Developing Young Workforce and Skills Development Scotland has enabled more young people in Scotland to discover careers in investment management. On top of this, Foundation Apprentices and Higher National Certificate students at Edinburgh College will join our Think Investments programme later this spring with support from our Scotland employer partners.
The valuable insights given to students across the two programmes helped to dispel the common misconceptions about working in the financial sector."
Susan Torrance, Chief HR Officer at Martin Currie Investment Management Ltd says, “partnering with Investment20/20 is a key part of our strategic D&I agenda at Martin Currie as we seek to bring in young and diverse talent. Through participating we’ve been privileged to engage with and present to talented students who are passionate about our industry. Truly inspiring and a great pipeline for the future”.
Finally, in February 70 sixth form students will join us for our award-winning Think Investments programme. Supported by over 20 Investment20/20 partner employers, students will spend the week exploring career pathways, learning about industry hot topics and speaking to people working in the sector. Feedback from the 60 students who joined us for the programme in October 2020 tells us that the programme makes a difference. One student told us, “it’s been a long time since I have been this motivated”. Many students came from the London Borough of Croydon, where our partnership work with the Enterprise Coordinator, Phil Seruwo, enabled us to connect with many young people across the borough. Phil said, “this year has been tough and especially for young people eager to get into work. This is why the work of Investment20/20 has been critical, giving young people in Croydon a life line with a way into the industry.”