ESG GLOBAL STUDY

ESG perspectives from global investors

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This year, 1,130 professional investors in 24 countries and regions participated in our annual environmental, social and governance (ESG) global study and shared their perspectives on ESG trends, risks and opportunities.

Here are three of our key findings.

AI could help tackle ESG data challenges

Bar chart shows 10% of respondents are currently using generative AI to analyze ESG data, and 53% plan to use generative AI to analyze ESG data.

Data is the number one challenge to ESG adoption. The rapid development of AI has given investors hope that this emerging technology might help solve the ESG data puzzle.

 

Learn more on page 23.

AI brings new ESG risks

Bar chart shows the top three AI-related ESG risks that investors view as the most material. 76% of respondents view data protection and privacy as the most material AI-related ESG risk, followed by 54% choosing energy consumption/increased greenhouse gas emissions. 49% of respondents pick labor rights/job displacement.
% Rank 1 + 2 + 3

More than three-quarters of respondents view data protection and privacy as posing the most material AI-related ESG risks for investment. More than half of respondents are concerned about the risk stemming from AI’s high power consumption.

 

Learn more on page 27.

Multi-thematic strategies gain popularity

Bar chart shows 67% of respondents view energy transition as the most important theme when selecting ESG funds. 52% choose climate change, and 29% opt for health and well-being.
% Rank 1 + 2 + 3

Investors are attracted to multi-thematic exposures for the perceived benefits of diversification, potential for better risk-adjusted returns and broader ESG impact. Though environmental themes have consistently been the most important when selecting ESG funds, investors are also targeting other themes.

 

Learn more on page 17.

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Analysis of material ESG issues, alongside other considerations, helps us identify investment risks and opportunities. They can be, but are not necessarily, determinative to an investment decision.

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