Menu Close

Morgan Stanley Sustainable Signals: Asset Owners See Sustainability as Core to Future of Investing

Morgan Stanley earnings: Late bond blues and other takeaways ...NEW YORK — A majority of asset owners globally actively integrate ESG factors into their investment process, according to a new survey published today by the Morgan Stanley Institute for Sustainable Investing and Morgan Stanley Investment Management. The new survey polled 110 public and corporate pensions, endowments, foundations, sovereign wealth entities, insurance companies and other large asset owners worldwide, 92% of which had total assets over $1 billion. The survey gathered insights about trends, motivations, challenges and implementation approaches in sustainable investing. This work builds on the Institute’s extensive body of research tracking sustainable investing trends over the last six years through its Sustainable Signals survey series focused on individual investors, asset owners and asset managers.

 

“These results provide an additional proof point that sustainable investing has become table stakes,” said Audrey Choi, Chief Sustainability Officer and CEO of the Institute for Sustainable Investing at Morgan Stanley. “This year’s survey found more asset owners identifying return potential as a key driver for sustainability integration, and accordingly many envision a future where they will limit their allocations to managers with formalized sustainability approaches.”

 

Ted Eliopoulos, Vice Chairman at Morgan Stanley Investment Management, said: “The majority of investors surveyed believe that companies with ESG-aligned practices can be better long term investments, but continue to need better reporting and data to evaluate holdings on those criteria. Investment managers can play a critical role supporting clients as they implement tools to assess how investments align with their sustainability goals.”

 

Nearly eight in ten (78%) investors surveyed agree that sustainable investing is a risk mitigation strategy. Additionally, asset owners already practicing sustainable investing have identified clear benefits to reputation and stakeholder engagement.

 

“Sustainable investing has gathered enough momentum in recent years to reach the mainstream, and this survey aims to track the way asset owners are integrating these considerations over time,” said Matthew Slovik, Head of Global Sustainable Finance at Morgan Stanley. “As the appetite for sustainable investing rapidly accelerates, we see technology and third-party investment managers playing a key role in measuring sustainability and further driving adoption.”

 

Results from the survey identify several trends reflecting the increasing growth in sustainable investing as a whole. Key findings include:

  • Asset owners increasingly embrace sustainable investing.
    • Adoption increased from 70% in 2017 to 80% in 2019
    • A further 15% of respondents are actively considering sustainable investing adoption
    • Nearly six in ten (57%) can envision a time when they will only allocate to investment managers with a formal approach to ESG.

 

  • Asset owners seek better tools and data to measure sustainability.
    • Asset owners are eager to measure and report portfolio impacts, but nearly a third (31%) lack adequate tools to assess investments against their ESG goals
    • 86% believe that investment managers can play a key role in ESG reporting and education

 

  • Among asset owners that make thematic or impact investments, 88% seek to address environmental themes.
    • Climate change, water solutions, plastic waste and the circular economy are the top environmental issues they seek to address
    • For social issues, gender diversity and education are the top priorities

 

  • ESG integration remains the most common approach to sustainable investing.
    • Across all approaches, investors find the highest quality sustainable investing strategies in public equities (78%) and fixed income (69%)
    • 45% of sustainable investors allocating to fixed income are actively investing in green or sustainability bonds or bond funds

 

More information can be found in this Report.

 

View: Source

View: More News

Related Posts

107 Comments

  1. 0mniartist

    Excellent pieces. Keep writing such kind of information on your
    blog. Im really impressed by your blog.
    Hello there, You have done a great job. I will certainly digg
    it and personally suggest to my friends. I am sure they will be
    benefited from this web site. 0mniartist asmr

  2. j.mp

    What i do not understood is actually how you’re now not
    really a lot more neatly-liked than you may be right now.
    You’re so intelligent. You understand thus significantly when it comes to this topic, made me individually imagine it from a lot of
    varied angles. Its like women and men are not fascinated until it is
    something to accomplish with Girl gaga! Your personal stuffs outstanding.
    At all times deal with it up! 0mniartist asmr

  3. asmr in

    Howdy would you mind stating which blog platform you’re working with?

    I’m going to start my own blog soon but I’m having a
    difficult time making a decision between BlogEngine/Wordpress/B2evolution and Drupal.

    The reason I ask is because your layout seems different then most blogs and I’m looking for something completely unique.
    P.S Sorry for getting off-topic but I had to ask!

  4. my gamefly

    My partner and I absolutely love your blog and find many of
    your post’s to be exactly I’m looking for. Do you offer guest writers to write content for you personally?
    I wouldn’t mind creating a post or elaborating on most of
    the subjects you write with regards to here. Again, awesome web
    log!

  5. bitly.com

    Hmm is anyone else experiencing problems with the images on this blog loading?

    I’m trying to figure out if its a problem on my end or if it’s the blog.
    Any responses would be greatly appreciated.

  6. was asmr

    I got this web page from my pal who informed me concerning this site
    and at the moment this time I am visiting
    this web page and reading very informative posts at this time.

  7. bit.ly

    scoliosis
    Write more, thats all I have to say. Literally, it seems as though you relied on the video to make your point.
    You clearly know what youre talking about, why throw away your intelligence on just posting videos to
    your site when you could be giving us something enlightening to read?
    scoliosis

  8. j.mp

    scoliosis
    Link exchange is nothing else except it is just placing the other person’s web site link on your page at appropriate place
    and other person will also do similar for you. scoliosis

  9. https://785days.tumblr.com/

    dating sites
    Hey there would you mind sharing which blog platform you’re using?
    I’m looking to start my own blog in the near future but I’m having a tough time deciding between BlogEngine/Wordpress/B2evolution and Drupal.
    The reason I ask is because your design seems different then most blogs and
    I’m looking for something completely unique.
    P.S Apologies for being off-topic but I had to ask!
    free dating sites https://785days.tumblr.com/

  10. was asmr

    Howdy! I’m at work browsing your blog from my new apple iphone!
    Just wanted to say I love reading through your blog and look forward to
    all your posts! Keep up the excellent work!

  11. scoliosis surgery their

    Attractive portion of content. I just stumbled upon your web site and
    in accession capital to say that I get in fact loved account your blog posts.
    Anyway I’ll be subscribing to your augment and
    even I fulfillment you access constantly quickly.

  12. scoliosis an

    You really make it appear really easy together with
    your presentation however I in finding this topic to be really something
    that I feel I might by no means understand. It sort of feels too complex and very
    wide for me. I am taking a look forward to your subsequent post, I will attempt to get the cling of it!

  13. my free dating sites

    Good post. I learn something totally new and challenging on blogs I stumbleupon on a
    daily basis. It will always be interesting to read through content
    from other writers and practice a little something from other websites.

  14. tinyurl.com

    Whats up are using WordPress for your site platform?
    I’m new to the blog world but I’m trying to get started and create my own. Do
    you need any html coding expertise to make your own blog?

    Any help would be greatly appreciated!

Leave a Reply

Your email address will not be published.