Release of Sustainable Investing Report
The US Sustainable and Responsible Investment Foundation (US SIF) released a report on sustainable investing trends in 2022, detailing the development characteristics and progress of sustainable investment in 2022. This is also the 14th edition of this series of reports.
The statistical means of sustainable investment in this report are different from those in the past. If the financial products only contain words related to “ESG” or “sustainable investment”, but do not clearly indicate that the corresponding sustainable content has been applied in investment decisions, then the report will not consider such products. Only the actual application of specific ESG categories in portfolio construction will be considered.
Due to stricter statistical means, the total sustainable investment assets this year are $8.4 trillion, down from $17.1 trillion in 2020. However, $8.4 trillion has accounted for 12% of all investments. The decline in investment scale measurement is basically consistent with the situation in Europe after the use of new sustainable measurement standards.
Key Points of the Report
The main points covered in this report are as follows:
- A total of 497 institutional investors participated in the survey, with a total management scale of $6.6 trillion;
- In ESG’s environmental affairs, the most important is climate change, involving $3.96 trillion. Another related to environmental affairs is sustainable natural resources investment and agricultural investment, involving $2.79 trillion;
- In terms of social affairs of ESG, the risk related to conflict of interest ranked first, accounting for $3.28 trillion. In addition, there are about $2.1 trillion of related assets in terms of health and safety;
- In terms of corporate governance of ESG, the management’s measurement accounted for the highest proportion, reaching $2.9 trillion. This includes the independence, diversity and remuneration of the company’s management;
References:
The Forum for Sustainable and Responsible Investment (ussif.org)