First-Time Measure of Global SRI Assets: $13.6 Trillion

A new first-of-its-kind report on the global sustainable investment industry reveals US$13.6 trillion in assets incorporating environmental, social and governance (ESG) concerns into the investment process.

The Global Sustainable Investment Alliance released its debut report today, including results from regional studies in Canada, the United States, Europe, Australia, Japan, Asia and Africa.

The report measures sustainable investments in all asset classes, from public equities and fixed income to hedge funds and microfinance.

The sustainable investment assets represent 21.8% of the total assets managed professionally in the regions covered by the report, “conclusively showing that the sustainable investment industry has significant scale in the global arena,” the alliance said in a news release.

Europe represents about 65% of global sustainable investment assets, the largest region. Europe, along with the United States and Canada, account for 96% of world SRI assets.

The most commonly used strategy among sustainable investment asset managers is negative/exclusionary screening, followed by ESG integration and corporate engagement/shareholder action.

“The Global Sustainable Investment Review 2012 is the first collaborative report of its kind, and we are delighted to be part of it,” said Gary Hawton, President of the Social Investment Organization (SIO). “Sustainable and socially responsible investment has truly become a global industry and it has never been more relevant. The accessibility of this information in a global format will further build our understanding of the trends and growth in the industry.”

The report’s release also launches the Global Sustainable Investment Alliance and its website at www.gsi-alliance.org, a collaboration of the seven largest sustainable investment membership organizations in the world.