E-Delivery: A Sustainable Shift for Earth Day and Beyond
![Earth graphic](/sites/default/files/styles/coh_x_large/public/2024-04/24-e-Delivery-sff1.png.webp?itok=UFg2i2Tm)
As Earth Day approaches on April 22, it’s a perfect time to reflect on how small actions we take can better steward our planet. For investors, a change could be on the horizon that provides a simple, sustainable option to receive investment communications electronically, which can help make big strides in reducing the environmental impact of deforestation.
It may be 2024, but financial companies are still required to use paper and snail mail as the primary way for investors to receive information. Switching to a digital-first approach to delivering financial communications can reduce waste, increase delivery speed, and allow investors to refer to statements on the go. While paper would remain an option for those who prefer it, embracing electronic delivery, or e-delivery as it’s commonly referred to, presents numerous benefits that meet the modern-day needs of investors while adopting sustainable practices.
One company alone estimates they use over 10,200 tons of paper for financial communications in just one year. Some estimates even show that the industry mails 240 million shareholder reports each year, using the equivalent of wood from nearly 2 million trees! It’s clear we need to reduce our reliance on these paper products, and e-delivery can help get us there, while providing investment communications in an easier way.
A common misconception is that older adults and seniors prefer traditional paper-based communication over digital tools. However, according to a 2023 AARP tech trends study, a significant majority of individuals aged 50 and above rely on technology to stay connected. Beyond that, making financial transactions through smartphone apps is increasingly popular among older generations.
The good news is that there’s legislation in Congress right now that makes e-delivery the default way we receive investment documents. The bill passed the House of Representatives and is awaiting a vote in the Senate, meaning we could soon modernize how we receive communications about our investments.
Secure Financial Future advocates tirelessly for investor choice in the marketplace, and when it comes to e-delivery, it’s all about your choice in how you want to receive the information you need. Embracing e-delivery could pave the way for a greener tomorrow for all Americans, both environmentally and financially.