Net flows to ESG funds quadrupled to $20 billion in 2019

Net flows to long-term responsible funds quadrupled in 2019 to $20 billion, from $5 billion in 2018, and continued to grow during the first half of 2020 to reach $21 billion, according to a report by Broadridge Financial Solutions.

The report also found that 68% of environmental, social and governance assets in the U.S. are now in actively managed funds. Flows into ESG active equity funds during the 12 months ending in August reached 10% of average fund assets in the U.S.

[More: BlackRock, Vanguard, Transamerica roll out latest ESG funds]

According to a separate survey by Broadridge of more than 400 financial advisers, 81% of wirehouse advisers have assets in ESG products today, followed by those in the independent broker-dealer (68%) and registered investment advisory (60%) channels.

Twenty-four percent of financial advisers reported that they saw an increase in client interest in ESG as a result of the COVID-19 pandemic.

[More: 3 keys to integrating ESG into client portfolios]

The post Net flows to ESG funds quadrupled to $20 billion in 2019 appeared first on InvestmentNews.

As our second lead editor, Cindy Hamilton covers health, fitness and other wellness topics. She is also instrumental in making sure the content on the site is clear and accurate for our readers. Cindy received a BA and an MA from NYU.

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