Globally, investors have allocated $35.3 trillion in assets to sustainable investing strategies, with recent growth of 15% over the last two years.¹

• Demand: Clients and pension fund beneficiaries are increasingly calling for greater transparency about how and where their money is invested. More than 8 in 10 U.S. individual investors (85%) express interest in sustainable investing, while half take part in at least one sustainable investing activity.²
• Manage risk and potentially enhance returns: It has become increasingly clearer that one of the main reasons for increasingly integrating ESG into the investment process is recognizing that ESG investing has the potential to reduce risk and produce desirable returns, as it considers additional risks and injects new and forward-looking insights into the investment process.³
• Increased transparency: An increase in ESG disclosures has enabled new investment approaches to emerge. While fewer than 20 companies disclosed ESG data in the early 1990s, the number of companies issuing sustainability or integrated reports had increased to nearly 9,000 by 2016. This increased transparency has allowed asset managers to identify best-in-class companies based on ESG risks and opportunities.⁴