Part 2/11:
The investment landscape for ESG funds is experiencing a robust revival. Market data indicates approximately 215 new ESG funds being launched recently, with a notable concentration in Europe—accounting for over half of these new vehicles—highlighting Europe's leadership in responsible investing. However, the Asia-Pacific (APAC) markets are quickly catching up, signaling a global acceleration in ESG adoption.
Interestingly, funds centered on ESG criteria, especially those emphasizing societal impact, have outperformed traditional funds in 2023. Median returns for ESG funds reached 6.9%, compared to 3.8% for conventional counterparts. Major technology stocks have driven these gains, pushing some top-performing ESG funds to returns exceeding 40% this year.