Who are the leaders in sustainable finance?
Jean-François Hirschel and Markus Kramer analysed over 600 asset managers worldwide to assess both their commitment to sustainable investment and their ability to translate it into their brand.
This fifth report of their Responsible Investment Brand Index (RIBI) highlights show major trends in the ecosystem:
- Best performers can be both major and boutique investors, demonstrating commitment to sustainable investing does not depend on the size of the organisation.
- More than half of the surveyed asset managers express a purpose, but less than 25% of them link it to societal good.
- The overall trend points towards an improvement of the ecosystem, with a widening gap between the leaders and the laggards.
- Europe and UK are clear leaders in the sustainable finance field, with all top 10 investors in the RIBI ranking coming from these regions.
- North America is a laggard, with Canada close to the world average and the US driving the region down both in Commitment and on Brand assessments.
- Recent improvement from Asian asset managers has set them apart from north American ones, as they are now getting closer to the world average.
The performance of European asset managers is a source of optimism, as they demonstrate those prioritising purpose and promoting it can thrive in unstable environments.
However, the US is not getting up to speed and still holds most of the world's asset under management and major asset managers, which is a reason for concern