Asset Owners Say ESG Expectations Now Play ‘Major Role’ in Manager Selection

Environmental, social, and governance (ESG) factors are now key criteria for selecting new asset managers, according to a survey of pension schemes, insurance firms, and family offices worth a combined USD7 trillion-

• According to the survey from bfinance, asset owners are also distancing themselves from managers that are not keeping up with the drive toward responsible investment.

• 60% of investors say that sustainability considerations play a major role in manager selection, up from 41% in 2018.

• Almost 1/3 of endowments and foundations terminated a manager due to sustainability considerations.

• Obtaining consistent ESG reporting and data across asset managers and asset classes is a major challenge for over 50% of the asset owners surveyed.

Source: https://www.institutionalassetmanager.co.uk/2021/02/08/295576/asset-owners-say-esg-expectations-now-play-major-role-manager-selection & https://www.bfinance.com/insights/white-papers/esg-asset-owner-survey/