Responsible investing is no longer a niche concept — it’s fast becoming the expectation for investors in New Zealand and Australia. However, with numerous funds now claiming to be ethical, ESG-focused, or sustainable, how can you determine which ones truly meet responsible investment standards?

That’s where certification makes the difference.

In New Zealand and Australia, there is only one organisation authorised to certify ETFs and index funds as responsible investments — the Responsible Investment Association Australasia (RIAA).

If an exchange-traded fund (ETF) or index fund is certified, it means it has successfully completed RIAA’s independent, evidence-based assessment process.

What is RIAA Certification?

The RIAA Responsible Investment Certification Programme is the industry benchmark for responsible investing across Australasia. It gives investors confidence that a certified product isn’t just using ESG buzzwords; it has met a verified, measurable standard.

To achieve certification, fund managers must:

●     Prove how they integrate environmental, social, and governance (ESG) factors into investment decisions

●     Show clear and transparent reporting to investors

●     Demonstrate a consistent commitment to ethical investment practices

●     Undergo ongoing reviews and renew their certification regularly

RIAA certification helps prevent greenwashing by ensuring only genuinely responsible investments can display the RIAA Certified Responsible Investment Symbol.

Why Certification Matters for ETFs and Index Funds

Exchange-Traded Funds (ETFs) and index funds have become some of the most popular investment choices in New Zealand because they offer broad diversification at a low cost. Yet, until recently, there was no unified way to verify whether these products were truly applying ESG or ethical principles.

RIAA’s certification programme now fills that gap.

When an ETF provider chooses to go through RIAA certification, it’s making a public commitment to transparency, accountability, and responsible investment practice. This independent verification gives investors confidence that their money supports funds genuinely working to create positive social and environmental outcomes.

For investors, seeing the RIAA Certified Responsible Investment Symbol means:

●     The fund’s responsible investing claims have been independently verified

●     There’s transparency about the companies and sectors included or excluded

●     You can compare certified funds confidently using consistent standards

Benefits of RIAA Certification for fund providers

●     Builds credibility and trust with investors

●     Demonstrates leadership and commitment to ESG investing

●     Sets products apart from unverified “ethical” or “green” claims

For investors

●     Provides independent verification of responsible investment claims

●     Offers clear insight into how ESG factors are applied

●     Ensures ongoing monitoring and accountability

Certified responsible investing helps both sides, fund providers and investors, align around transparent, evidence-based standards.

The Bigger Picture: Responsible Investing in New Zealand

Demand for responsible investing in NZ continues to grow rapidly, especially as awareness of climate risk, corporate governance, and social impact increases.

By certifying ETFs and index funds through RIAA, the financial industry is raising the bar for integrity, transparency, and performance. Over time, that means clearer information for investors, stronger trust in financial markets, and investment decisions that support long-term sustainability.

At DecisionMakers, we view responsible investing as part of a broader goal — helping clients build confidence in their financial future while making choices they feel good about. When investors can see exactly what stands behind a fund’s “responsible” label, they’re better equipped to make informed, lasting decisions.

Talk to a Financial Adviser

If you’d like to understand how responsible investing or RIAA-certified funds could fit within your own portfolio, DecisionMakers Advisers offer a free first-hour consultation.

It’s a relaxed opportunity to talk through your financial goals, ask questions, and explore what responsible investing could mean for you — no pressure, no jargon, no obligation.

Contact DecisionMakers to book your first conversation. Contact us | DecisionMakers