In order to gauge the size, breadth, depth, and performance of responsible investment in New Zealand, RIAA has reviewed the practices of 46 financial institutions, with 21 assessed directly via survey and supplementary desktop analysis undertaken across the research universe.

The commitment to and interest in this area of finance is evident from the number of investment managers that engaged with this research project. This year marked a record level of survey participation and allowed for greater insights to be drawn from the data than ever before.

To date, RIAA has classified responsible investment assets under management (AUM) as either ‘Core’ or ‘Broad’ to distinguish between those funds that are undertaking a screening, sustainability-themed, or impact investment approach (traditionally more aligned with ethical investment) and those that are committed to investing under a strategy that integrates environmental, social, and corporate governance (ESG) factors.

As responsible investing becomes more mainstream, RIAA expects to move away from these classifications and instead focus on best practices across the spectrum of RI strategies. For continuity purposes, the data is presented as Core and Broad in Appendix 1C.

This report details industry data on the size, growth, composition, and performance of the New Zealand RI market over the twelve months to 31 December 2018 and compares these results with the broader New Zealand financial market.

‍