The lower quartile of ESG funds only reduce carbon emissions by 11% versus the total market.
Sustainable finance is rapidly evolving.
Key priorities are addressing market fragmentation, mitigating data gaps and ensuring global alignment.
There is no client conversation in any asset class where ESG is not discussed.
Active funds retain the majority of sustainable assets, but their share is shrinking.
More than half of the ETF net inflows were in fixed income and sustainable products.
Schroders' study found that sustainable investing is viewed as a more important focus due to the pandemic.
Improving ESG disclosure needs to change capital allocation decisions.
Emerging market signatories have grown 50% over the past years.