Shakeout: Resetting sustainable investors’ expectations
Dewi John takes a look at sustainable fund flows and the path ahead
Analysis
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Tax transparency increasing but lacks depth of disclosure
Based on research into reporting trends conducted by GRI
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Investment community split on the need for UK Green Taxonomy as consultation deadline passes
While some view a green taxonomy as ‘vital’, others say it risks creating a counterproductive regulatory burden
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GSS bond market reached highest issuance level in three years in 2024
Issuance expected to exceed $1trn in 2025
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Over 50% of investors are engaged with the impact private debt sector
Over 100 private debt strategies now target key environmental and social themes
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Macfarlanes’ Richardson: ‘I would not be surprised if the UK Green Taxonomy is scrapped’
ESG litigation and regulatory upheaval were also among key topics addressed by law firm Macfarlanes
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Challenging the trade-off misconception between adaptation and mitigation
Adaptation solutions are seeing increased demand following the LA wildfires
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Bond appetite nudges Article 8/9 AUM higher in Q4
Article 8 and Article 9 funds reached €6.1trn, accounting for 60% of the total market share, according to Morningstar Sustainalytics
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Relying solely on ESG scores ‘doesn’t ensure alignment with do no harm principles’
Exclusionary practices can complement and reinforce ESG integration strategies, according to the latest EDHEC report
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Nature-based solutions ‘best way’ to reduce livestock emissions
Only 45% of climate-focused public funding goes towards nature-based solutions, according to FAIRR’s latest report
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More than half of investors still consider ESG factors during portfolio asset allocation
Difficulty in measuring impact and inconsistent regulations are the biggest barriers
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Stewardship in 2025: Trends and tools for sustainable investors
Public health, AI and biodiversity are earmarked as top engagement priorities but investors will need to demonstrate resilience amid challenges