{"id":88,"date":"2021-03-16T10:47:20","date_gmt":"2021-03-16T14:47:20","guid":{"rendered":"http:\/\/blogs.duanemorris.com\/esg\/?p=88"},"modified":"2021-03-16T17:01:23","modified_gmt":"2021-03-16T21:01:23","slug":"esg-global-esg-funds-flow-increases-to-80-5-b-in-q3-of-2020-and-2-5-trillion-in-esg-aum","status":"publish","type":"post","link":"https:\/\/blogs.duanemorris.com\/esg\/2021\/03\/16\/esg-global-esg-funds-flow-increases-to-80-5-b-in-q3-of-2020-and-2-5-trillion-in-esg-aum\/","title":{"rendered":"ESG &#8211; Global ESG funds flow increases to $80.5 B in Q3 of 2020 and $2.5 Trillion in ESG AUM"},"content":{"rendered":"\r\n<p>Per a neat article in <strong>Funds Fire<\/strong> last week, <strong>Moody&#8217;s Investor Services<\/strong> issued a February 2021 report\u00a0 that showed Global ESG flows increased to <strong>$80.5 billion<\/strong> in the third quarter of 2020, up 14% from the previous quarter, with sustainable fund assets under management reaching a new high of <strong>$1.23 trillion<\/strong>.<\/p>\r\n<p>In the third quarter, <strong>U.S.-based<\/strong> sustainable equity funds saw net inflows of <strong>$3.8 billion<\/strong>, even as overall U.S. equity funds saw net outflows of $118.5 billion, the Moody&#8217;s report shows.<\/p>\r\n<p><strong>Clean energy<\/strong> was the top-performing U.S. equity sector, with a total cumulative return of 185%, followed by consumer discretionary, which returned 48.3% last year. Meanwhile, despite entering 2020 with a low valuation, the energy sector lost 33% last year.<\/p>\r\n<p>President Biden\u2019s focus on renewable infrastructure, along with key political appointments that are likely to\u00a0influence investment regulations, are likely to have further impact on ESG investing, according to Moody\u2019s.<\/p>\r\n<p>Per the report<strong>, Invesco<\/strong>, which manages $1.37 trillion and oversees <strong>$35 billion<\/strong> in dedicated ESG mandates, has targeted <strong>2023 for full ESG integration<\/strong>. <strong>BlackRock<\/strong> aims to increase its $200 billion in sustainable investment assets to <strong>$1 trillion by the end of the decade<\/strong>.<\/p>\r\n<p>Further, according to the report<strong>, AllianceBernstein<\/strong> was among the firms that had positive momentum in ESG in 2020. At the end of 2020, the firm\u2019s suite of ESG strategies jumped to $<strong>16.5 billion, an increase of 60% over the prior year.<\/strong><\/p>\r\n<p>According to Funds Fire, <strong>Institutional ESG flows<\/strong>, as tracked by eVestment, increased to<strong> $109 billion<\/strong> in 2020 from $27.6 billion in 2018. Institutional ESG assets<strong> increased to $2.55 trillion<\/strong> from $1.79 trillion over the same period.<\/p>\r\n<p><strong>The Triple Bottom Line<\/strong>: While numbers can sometimes be manipulated to make a point, in this instance, the sheer numbers and upwards trajectory speaks for itself.\u00a0 An increase from $27 Billion to over $109 Billion in 3 years; and an increase in ESG assets from 1.79 Trillion to over $2.55 Trillion is significant no matter how\u00a0 you chose to view ESG investing.<\/p>\r\n<p><strong>Duane Morris<\/strong> has an active <strong>ESG and Sustainability\u00a0Team <\/strong>to help organizations and individuals plan, respond to, and execute on Sustainability and ESG planning and initiatives within their own space.\u00a0\u00a0We would be happy to discussion your proposed project with you.\u00a0 Contact your Duane Morris attorney for more information.<\/p>\r\n<p>If you have any questions about this post, please contact <strong>Brad A. Molotsky\u00a0 (bamolotsky@duanemorris.com), Nanette Heide, Darrick Mix, Michael Schwamm, David Amerikaner <\/strong>or the attorney in the firm with whom you are regularly in contact.<\/p>\r\n","protected":false},"excerpt":{"rendered":"<p>Per a neat article in Funds Fire last week, Moody&#8217;s Investor Services issued a February 2021 report\u00a0 that showed Global ESG flows increased to $80.5 billion in the third quarter of 2020, up 14% from the previous quarter, with sustainable fund assets under management reaching a new high of $1.23 trillion. In the third quarter, &hellip; <\/p>\n<p class=\"link-more\"><a href=\"https:\/\/blogs.duanemorris.com\/esg\/2021\/03\/16\/esg-global-esg-funds-flow-increases-to-80-5-b-in-q3-of-2020-and-2-5-trillion-in-esg-aum\/\" class=\"more-link\">Continue reading<span class=\"screen-reader-text\"> &#8220;ESG &#8211; Global ESG funds flow increases to $80.5 B in Q3 of 2020 and $2.5 Trillion in ESG AUM&#8221;<\/span><\/a><\/p>\n","protected":false},"author":285,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[77,79,22,80,72,52,23,78,74,81,76,73,75,71,24,59],"ppma_author":[7],"class_list":["post-88","post","type-post","status-publish","format-standard","hentry","category-general","tag-alliancebernstein","tag-blackrock","tag-brad-a-molotsky","tag-clean-energy","tag-darrick-mix","tag-david-amerikaner","tag-esg","tag-evestment","tag-funds-fire","tag-funds-flow","tag-invesco","tag-michael-schwamm","tag-moodys","tag-nanette-heide","tag-sustainability","tag-triple-bottom-line"],"authors":[{"term_id":7,"user_id":285,"is_guest":0,"slug":"bamolotsky","display_name":"Brad A. Molotsky","avatar_url":"https:\/\/blogs.duanemorris.com\/esg\/wp-content\/uploads\/sites\/53\/2021\/02\/molotskybrad-100x100.jpg","0":null,"1":"","2":"","3":"","4":"","5":"","6":"","7":"","8":""}],"_links":{"self":[{"href":"https:\/\/blogs.duanemorris.com\/esg\/wp-json\/wp\/v2\/posts\/88","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/blogs.duanemorris.com\/esg\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/blogs.duanemorris.com\/esg\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/blogs.duanemorris.com\/esg\/wp-json\/wp\/v2\/users\/285"}],"replies":[{"embeddable":true,"href":"https:\/\/blogs.duanemorris.com\/esg\/wp-json\/wp\/v2\/comments?post=88"}],"version-history":[{"count":0,"href":"https:\/\/blogs.duanemorris.com\/esg\/wp-json\/wp\/v2\/posts\/88\/revisions"}],"wp:attachment":[{"href":"https:\/\/blogs.duanemorris.com\/esg\/wp-json\/wp\/v2\/media?parent=88"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/blogs.duanemorris.com\/esg\/wp-json\/wp\/v2\/categories?post=88"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/blogs.duanemorris.com\/esg\/wp-json\/wp\/v2\/tags?post=88"},{"taxonomy":"author","embeddable":true,"href":"https:\/\/blogs.duanemorris.com\/esg\/wp-json\/wp\/v2\/ppma_author?post=88"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}