Prospectives et nouveaux enjeux dans l'entreprise

Various environmental, social and governance (ESG)-related funds from Abrdn, Morgan Stanley and UBS have recently been renamed to omit sustainability-related phrases.

In addition, according to data from Morningstar Direct cited by the FT, launches of environmental, social and governance (ESG)-related funds have been steadily declining, with only six launched in the second half of 2023 compared to an average of nearly 100 a year between 2020 and 2022.

The trend follows a ruling from the SEC in September 2023 that 80% of assets in funds must be related to the name.

Via EcoVadis

Investing using ESG principles requires access to reliable, timely, and high-quality data about companies’ ESG performance—but investors often find that data hard to come by.  

While popular in public markets for some time, demand for ESG adoption has gained significant traction in private markets. Private equity (PE), venture capital (VC), and other private market participants increasingly recognize the value of integrating ESG principles into their investment strategies. A recent study by the United Nations Principles for Responsible Investment (UNPRI) also revealed that 75 percent of PE signatories assess ESG materiality for individual companies in their portfolios. Investor pressure from LPs and the evolving ESG regulatory landscape are compelling general partners (GPs) to measure the ESG performance of their portfolio companies. Furthermore, a report surveying over 300 limited partners (LPs) and GPs shows a shift towards an "ESG or nothing" investment philosophy, with over three quarters of respondents saying that they plan to cease investing in or promoting non-ESG private markets products by the end of 2025. However, limited disclosures from private companies and the lack of a consistent ESG data collection framework across the private markets make it challenging for GPs to track progress on material ESG goals.  

Via EcoVadis