ESG Integration Share Slips in UK Market

The Investment Association’s (IA) annual survey has found that 46% of assets managed by members integrated ESG criteria into the investment process in 2021, down from 49% in 2020. However, the proportion of assets subject to sustainability-focused criteria saw substantial growth, rising from 2.6% of assets to 8%. Assets subject to firm- or product-level exclusions rose one percentage point to 26%, while impact investments remained a niche area, representing just 0.5% of assets managed by members. In total, members of the UK trade body managed £10 trillion in assets in 2021, representing a 6% year-on-year rise. Total assets managed for overseas clients increased to £4.6 trillion from £4.2 trillion in 2020. IA members manage £4.7 trillion globally on behalf of UK based institutional clients, this is up from £4.5 trillion the previous year. UK pension funds and insurers were responsible for 85% of the assets.

 

The practical information hub for asset owners looking to invest successfully and sustainably for the long term. As best practice evolves, we will share the news, insights and data to guide asset owners on their individual journey to ESG integration.

Copyright © 2023 ESG Investor Ltd. Company No. 12893343. ESG Investor Ltd, Fox Court, 14 Grays Inn Road, London, WC1X 8HN

To Top