'Sustainable investing’ is surging, accounting for 33% of total U.S. assets under management
- Media Manager
- Dec 21, 2020
- 1 min read
CNBC
Written By: Deborah Nason
Published: December 21st, 2020
Assets managed with environmental, social and governance considerations continue to surge. And while still largely driven by institutional investors, the retail side is growing dramatically.
In fact, money managers who use ESG factors in their investment analysis say climate change continues to be their top concern and the leading criteria as they put money to work.
Between 2018 and 2020, total U.S.-domiciled sustainably invested assets under management, both institutional and retail, grew 42%, to $17.1 trillion, up from $12 trillion, according to the Forum for Sustainable and Responsible Investment’s 2020 trends report. The latter number represents 33% of the $51.4 trillion in total U.S. assets now under professional management.
Breaking it down further, money managers reported a 50% increase in the amount of assets they manage on behalf of retail or high-net-worth investors, growing to $4.6 trillion from $3.03 trillion during the same period, according to the report.
