Head of SI Thought Leadership and Climate & Biodiversity Strategist
• Insight
Investors continue climate change efforts despite headwinds
Investors are keeping the faith in trying to combat global warming, despite growing headwinds, the 2023 Robeco Global Climate Survey has revealed. The number of investors for whom climate change is a significant part of their investment policy has remained stable at above seven in ten.
Authors
The desire to protect biodiversity is becoming mainstream, and enthusiasm for investing in renewables is growing, as the survey revealed a clear shift in the focus moving from aspiration to implementation. Green bonds, for example, are seen as ideal for the integration of biodiversity issues into portfolios over the next one to two years.
However, sentiment was hurt by a number of headwinds for the third annual survey of 300 investors, led by greater geopolitical uncertainty following Russia’s invasion of Ukraine. This added to inflationary pressures and triggered an energy price spike, particularly in Europe, leading some investors to pause or revise plans to move away from fossil fuels in the short term.
And at the same time, investors are encountering political pressure through an anti-ESG movement that has become more vocal against the use of environmental, social and governance factors in investment decisions. A significant divergence has emerged between the US, where anti-ESG protagonists argue that it cuts into returns, and with Europe and Asia-Pacific, where investors conversely fear the consequences of not using sustainability factors.
“This year’s survey highlights the challenging journey that investors are undertaking as they advance from aspiration towards implementation of their net-zero commitments,” says Lucian Peppelenbos, Climate and Biodiversity strategist at Robeco.
Climate action continues to mature, but the road to net zero is not linear. All in all, I believe we are close to reaching a tipping point for the mainstreaming of climate change and biodiversity into investment strategy Lucian Peppelenbos
Lucian Peppelenbos
Head of SI Thought Leadership and Climate & Biodiversity Strategist
Read the full survey report here
Stay informed on Climate investing
Important information
THIS WEBSITE IS SOLELY INTENDED FOR PROFESSIONAL INVESTORS, WHICH HAS THE MEANING ASCRIBED TO IT IN THE SECURITIES AND FUTURES ORDINANCE (CAP. 571 OF THE LAWS OF HONG KONG) AND ITS SUBSIDIARY LEGISLATION. Investment involves risks. Past performance is not indicative of future performance. The information contained in this website is provided for reference only and does not constitute investment advice or an offer or solicitation to buy or sell in any securities or to adopt any investment strategy. Investors should not base their investment decisions solely on the information provided on this website and are advised to seek independent advice (including advice on tax implications) before making any investment decisions. Investors should ensure they fully understand the risks associated with the investment products and should also consider their own investment objectives and risk tolerance level. The investment decision is yours. You should not invest unless the intermediary who sells you the investment products has advised you that it is suitable for you and has explained how it is consistent with your investment objectives. Please refer to the relevant offering documents or other legal documents for further details including the risk factors. This website is published by Robeco Hong Kong Limited which is regulated by the Hong Kong Securities and Futures Commission (“SFC”) (CE No. APU851). This website has not been reviewed by the SFC. No assurance can be given that the investment objective of any investment products will be achieved. No representation or promise as to the performance of any investment products or the return on an investment is made. The value of investments may fluctuate. Past performance, projections, or forecasts included in this website should not be regarded as guarantees or indications of future performance, and no express or implied warranty is provided. The contents of this website are based on sources believed to be reliable, but due to the nature of information delivery technology and the necessity of using multiple data sources, including third party content, their accuracy is not guaranteed. The opinions expressed are as of the date shown above and may change as market conditions evolve, and are subject to change without notice. These opinions may differ from those of other Robeco investment professionals. Robeco accepts no liability for any direct, indirect, or consequential loss arising from the use of this material or any comments, opinions, or estimates contained herein. Robeco has no duty to update this website or any website content. Materials on this website may not be reproduced, distributed, or published without prior written permission from Robeco. Unless otherwise specified, Source: Robeco.
