The Australasian region is leading globally in the uptake of responsible investing, with 63% of total assets under management in Australia and New Zealand using a responsible investment approach.
The Global Sustainable Investment Alliance (GSIA) has released its biennial Global Sustainable Investment Review 2018, showing that global responsible investment assets reached US$30.7 trillion at the start of 2018, a 34% increase from 2016.
In its fourth edition, the biennial Global Sustainable Investment Review brings together the results from regional market studies by the responsible investment forums of Europe, the US, Japan, Canada, Australia & New Zealand. It also includes data on the African responsible investing market and highlights from several countries in North, Central and South America.
“It is pleasing to see the continuing growth of responsible investment, both in our region and globally” said Simon O’Connor, CEO of the Responsible Investment Association Australasia. “The investment community is fast realising the correlation between consideration of environmental, social and governance factors, and positive portfolio performance. At the same time, consumers are increasingly demanding investment products that align with their values.
“The recently announced Australian Sustainable Finance Initiative and NZ Sustainable Finance Forum will both play important roles in recommending policy to further accelerate this growth”.
In Australia responsible investment assets under management reached $866 billion at the end of 2017 (RIAA’s 2018 Responsible Investment Benchmark Report) and in New Zealand hit new heights with NZ$183.4 billion managed as responsible investments at the end of 2017 (RIAA’s 2018 Responsible Investment Benchmark Report). Updated figures for each market will be released in July 2019.
The Review shows Europe has the largest amount of assets that are responsibly invested, with the US the second largest region, growing from US$8.7 trillion in 2016 to US$12.0 trillion at the start of 2018, an increase of 38%.
In Japan, sustainable investing assets quadrupled from 2016 to 2018, growing from just 3% of total professionally managed assets in the country to 18%. This growth has made Japan the third largest centre for responsible investing after Europe and the US.
The largest responsible investment strategy globally is negative/exclusionary screening (US$19.8 trillion), followed by ESG integration (US$17.5 trillion) and corporate engagement/shareholder action ($9.8 trillion). Negative screening remains the largest strategy in Europe, while ESG integration continues to dominate in the US, Canada and Australia & New Zealand in asset-weighted terms. Corporate engagement/shareholder action is the dominant strategy in Japan.
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For further information or a full copy of the report, please contact Carly Hammond on 0430 448 422, carlyh@responsibleinvestment.org
About the Global Sustainable Investment Review - Now in its fourth edition, the biennial study is the only report presenting results from Europe, the United States, Japan, Canada, and Australia and New Zealand. The report draws on in-depth regional and national reports from members of the Global Sustainable Investment Alliance— Eurosif, Japan Sustainable Investment Forum, Responsible Investment Association Australasia, RIA Canada and US SIF. It also presents data and insights from the Principles for Responsible Investment with regard to Latin America and from the African Investing for Impact Barometer
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The Australasian region is leading globally in the uptake of responsible investing, with 63% of total assets under management in Australia and New Zealand using a responsible investment approach.
The Global Sustainable Investment Alliance (GSIA) has released its biennial Global Sustainable Investment Review 2018, showing that global responsible investment assets reached US$30.7 trillion at the start of 2018, a 34% increase from 2016.
In its fourth edition, the biennial Global Sustainable Investment Review brings together the results from regional market studies by the responsible investment forums of Europe, the US, Japan, Canada, Australia & New Zealand. It also includes data on the African responsible investing market and highlights from several countries in North, Central and South America.
“It is pleasing to see the continuing growth of responsible investment, both in our region and globally” said Simon O’Connor, CEO of the Responsible Investment Association Australasia. “The investment community is fast realising the correlation between consideration of environmental, social and governance factors, and positive portfolio performance. At the same time, consumers are increasingly demanding investment products that align with their values.
“The recently announced Australian Sustainable Finance Initiative and NZ Sustainable Finance Forum will both play important roles in recommending policy to further accelerate this growth”.
In Australia responsible investment assets under management reached $866 billion at the end of 2017 (RIAA’s 2018 Responsible Investment Benchmark Report) and in New Zealand hit new heights with NZ$183.4 billion managed as responsible investments at the end of 2017 (RIAA’s 2018 Responsible Investment Benchmark Report). Updated figures for each market will be released in July 2019.
The Review shows Europe has the largest amount of assets that are responsibly invested, with the US the second largest region, growing from US$8.7 trillion in 2016 to US$12.0 trillion at the start of 2018, an increase of 38%.
In Japan, sustainable investing assets quadrupled from 2016 to 2018, growing from just 3% of total professionally managed assets in the country to 18%. This growth has made Japan the third largest centre for responsible investing after Europe and the US.
The largest responsible investment strategy globally is negative/exclusionary screening (US$19.8 trillion), followed by ESG integration (US$17.5 trillion) and corporate engagement/shareholder action ($9.8 trillion). Negative screening remains the largest strategy in Europe, while ESG integration continues to dominate in the US, Canada and Australia & New Zealand in asset-weighted terms. Corporate engagement/shareholder action is the dominant strategy in Japan.
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For further information or a full copy of the report, please contact Carly Hammond on 0430 448 422, carlyh@responsibleinvestment.org
About the Global Sustainable Investment Review - Now in its fourth edition, the biennial study is the only report presenting results from Europe, the United States, Japan, Canada, and Australia and New Zealand. The report draws on in-depth regional and national reports from members of the Global Sustainable Investment Alliance— Eurosif, Japan Sustainable Investment Forum, Responsible Investment Association Australasia, RIA Canada and US SIF. It also presents data and insights from the Principles for Responsible Investment with regard to Latin America and from the African Investing for Impact Barometer
