John Lewis introduces investment services

John Lewis has teamed up with UK digital wealth manager Nutmeg to launch its first investment and saving services for customers.

The British department store chain will be launching three products: a junior ISA, a stocks and shares ISA, and a general investment fund.

The company said the products all invest in funds with high Environmental, Social, and Governance (ESG) standards, meaning customers’ money focuses on businesses that score highly in the areas of carbon emissions, climate change, renewable energy, social impact and ethical practices.

Customers can start investing with a minimum of 100 pounds and choose a timeframe and risk level that suits them.

John Lewis said the new services aim to help those who would otherwise not consider investing, and come after research showed “a significant opportunity for a brand customers know and trust” to offer “simple investments”.

According to a survey conducted with 2,000 UK adults on behalf of John Lewis by OnePoll, more than half (52 percent) of people say the pandemic has made them reassess how they spend and save.

The survey showed that 72 percent of people would consider investing in stocks and shares, but 59 percent were put off because they didn’t know how to go about it.

It is the latest financial service to be added to John Lewis’ portfolio, following the relaunch of its home insurance and retail credit offers earlier this year.

The launch forms part of the company’s earlier-announced plans for 40 percent of its profits to come from outside retail by 2030, and follows its recent pledge to build 10,000 rental homes in the next 10 years.