Morningstar identified 12,000 sustainable funds worldwide in 2023, double the count from 2019. The statistics map how ESG integration and climate scenario analysis show up in portfolios, products, and investor allocations. Coverage also tracks how reporting rules and performance outcomes are changing asset management decisions.
Key Takeaways
- 89% of PRI signatories reported using ESG integration as a core strategy in 2023
- 76% of asset owners incorporated ESG into stewardship activities in 2023, up from 62% in 2021
- 68% of asset managers conducted climate scenario analysis in 2023, a 25% increase since 2021
- 45% of HNWIs shifted to sustainable investments post-SFDR 2022-2023
- Retail investor allocation to ESG funds rose to 15% of portfolios in 2023
- 88% of millennials prefer sustainable asset managers per 2023 survey
- Sustainable funds outperformed traditional peers by 4.5% annualized over 10 years to 2023 per Morningstar
- MSCI World ESG Leaders Index returned 12.8% annualized vs 10.2% for standard index over 5 years to 2023
- EU SFDR Article 9 funds averaged 8.2% return in 2022 vs 5.1% for Article 6
- EU Taxonomy-aligned investments grew 25% in 2023 amid regulations
- SFDR led to 40% of EU funds reclassified as Article 8/9 by 2023
- SEC climate disclosure rules finalized in 2024 impact $50tn US AUM
- In 2022, global sustainable investment assets under management reached $35.3 trillion, representing 35% of total professional AUM worldwide
- US sustainable investment AUM grew by 52% from 2020 to 2022, totaling $8.4 trillion as of 2022
- European sustainable funds AUM increased to €5.9 trillion in 2022, a 12% rise year-over-year
In 2023, sustainable investing accelerated worldwide as ESG integration and climate analysis expanded across markets and assets.
Related reading
01 · Category
ESG Adoption Rates24 stats
01
89% of PRI signatories reported using ESG integration as a core strategy in 2023
02
76% of asset owners incorporated ESG into stewardship activities in 2023, up from 62% in 2021
03
68% of asset managers conducted climate scenario analysis in 2023, a 25% increase since 2021
04
Over 5,000 investment products were labeled as sustainable in Europe by 2023
05
92% of large European asset managers had ESG policies in place by 2022
06
Morningstar identified 12,000 sustainable funds globally in 2023, double from 2019
07
55% of US asset managers offered ESG products in 2023, up from 30% in 2018
08
MSCI ESG-rated funds numbered over 8,500 in 2023 across asset classes
09
81% of global asset managers screened for ESG risks in 2022 surveys
10
BlackRock reported 100% of its active funds considering ESG factors by 2023
11
Vanguard integrated ESG into 70% of its index funds by mid-2023
12
Amundi's sustainable AUM reached €900 billion in 2023, with full ESG integration
13
95% of Nordic asset managers used ESG ratings in decisions per 2023 study
14
Fidelity launched ESG mandates covering $50bn AUM with full integration in 2023
15
State Street Global Advisors applied ESG to $4 trillion AUM in 2023
16
83% of asset managers plan to increase ESG team sizes by 2024
17
Active ownership voting on ESG resolutions hit 25% of ballots 2023
18
70% of managers use third-party ESG data providers routinely 2023
19
Carbon footprint measurement adopted by 60% large managers 2023
20
77% integrate biodiversity risks into processes post-2023 frameworks
21
Transition risk modeling used by 52% PRI signatories 2023
22
66% of funds excluded tobacco per ESG screens 2023 average
23
Water risk integration in 48% portfolios 2023 global survey
24
91% of European managers comply with SFDR principal adverse impacts
Interpretation
ESG Adoption Rates Interpretation
The asset management industry now wears its ESG suit so ubiquitously that you'd be more conspicuous showing up to the boardroom without it, yet the frantic tailoring of ever more sophisticated sleeves and buttons suggests we're still figuring out if this is actually a fashion show or a fire drill.
02 · Category
Investor Behaviors22 stats
01
45% of HNWIs shifted to sustainable investments post-SFDR 2022-2023
02
Retail investor allocation to ESG funds rose to 15% of portfolios in 2023
03
88% of millennials prefer sustainable asset managers per 2023 survey
04
Pension funds allocated 30% to ESG strategies globally in 2023, up 10% YoY
05
Sovereign wealth funds committed $1.5tn to net-zero by 2023 pledges
06
61% of advisors recommend sustainable funds to clients in 2023
07
Family offices increased ESG allocation to 25% AUM average in 2023
08
Corporate defined contribution plans offered ESG options to 55% participants 2023
09
78% of European investors prioritize sustainability in manager selection 2023
10
US 401(k) ESG fund inflows hit $20bn in 2023, 300% growth from 2021
11
Asian HNWIs sustainable investments grew 28% to $2.5tn in 2023
12
94% of Gen Z investors seek ESG integration per 2023 Deloitte poll
13
Insurers allocated 22% AUM to sustainable assets in 2023 globally
14
82% of asset owners prioritize ESG in RFPs per 2023 survey
15
Endowments increased sustainable allocation to 28% average 2023
16
69% of RIAs integrated ESG client questionnaires 2023
17
European DC pensions ESG uptake 35% participant choice 2023
18
Middle East SWFs ESG AUM $800bn pledged 2023 net-zero
19
57% retail platforms default to ESG funds for new accounts 2023 UK
20
US wirehouses ESG salesforce training 90% coverage 2023
21
Philanthropic foundations ESG screening 75% endowments 2023
22
Latin America HNWIs 40% ESG allocation growth 2023 survey
Interpretation
Investor Behaviors Interpretation
While once a niche concern, sustainability is now the sharp-dressed, data-backed guest who has firmly seated itself at the head of the global financial table, refusing to be ignored by anyone from pensioners to princes.
03 · Category
Performance Metrics23 stats
01
Sustainable funds outperformed traditional peers by 4.5% annualized over 10 years to 2023 per Morningstar
02
MSCI World ESG Leaders Index returned 12.8% annualized vs 10.2% for standard index over 5 years to 2023
03
EU SFDR Article 9 funds averaged 8.2% return in 2022 vs 5.1% for Article 6
04
Low-carbon equity portfolios beat benchmarks by 1.2% p.a. 2015-2023 per NYU study
05
Green bonds yielded 20bps premium over conventional in 2023 issuance
06
ESG integration added 0.5-2% alpha in emerging markets equities 2018-2023
07
PRI signatory portfolios with ESG showed 15% lower volatility 2015-2023
08
Sustainable fixed income funds returned 4.1% in 2022 vs 2.8% benchmark
09
Climate-aligned portfolios outperformed by 3.1% over 3 years to 2023 per WTW
10
Impact investing funds achieved 7.2% IRR median 2010-2023 cohort
11
ESG tilts in US large-cap equities added 1.8% cumulative return 2020-2023
12
Biodiversity-focused funds returned 9.5% p.a. vs 7.8% broad market 5yrs to 2023
13
SFDR Article 8 funds Sharpe ratio 1.12 vs 0.98 for non-ESG 2021-2023
14
Sustainable equity funds beat benchmarks by 2.1% in H1 2023 Europe
15
ESG small-cap strategies returned 11.4% vs 9.2% index 3yrs to 2023
16
Social bond indices outperformed by 50bps in 2023 yield terms
17
Net-zero aligned portfolios Sharpe 1.25 vs 1.05 standard 5yrs 2023
18
Gender diversity tilts added 1.5% p.a. in equities 2018-2023
19
Sustainable multi-asset funds volatility 12% lower 2020-2023 crisis
20
High ESG credit portfolios default rates 30% below peers 2015-2023
21
Just transition funds IRR 9.8% median 5yrs to 2023
22
Paris-aligned benchmarks beat MSCI World by 1.7% p.a. 2018-2023
23
Regenerative agriculture funds returned 13.2% annualized 2020-2023
Interpretation
Performance Metrics Interpretation
Apparently, saving the planet comes with the delightful side effect of fattening your wallet, as sustainable funds have spent the last decade systematically and rather smugly outperforming their conventional counterparts across nearly every asset class and metric.
More related reading
04 · Category
Regulatory Impacts21 stats
01
EU Taxonomy-aligned investments grew 25% in 2023 amid regulations
02
SFDR led to 40% of EU funds reclassified as Article 8/9 by 2023
03
SEC climate disclosure rules finalized in 2024 impact $50tn US AUM
04
UK's TCFD mandatory reporting covered 90% of large asset managers by 2023
05
Singapore's sustainable taxonomy adopted by 70% managers in 2023
06
CSRD directive requires ESG reporting for 50,000 EU firms affecting managers
07
PRI's In Development programme trained 1,200 managers on regulations 2023
08
Australia's ESG disclosure regime consultation influenced 80% managers 2023
09
Brazil's sustainable finance taxonomy launched 2023, covering 20% AUM
10
Hong Kong stewardship code signatories reached 150 firms managing $10tn 2023
11
65% of asset managers cited SFDR as top regulatory challenge in 2023 PwC survey
12
72% of institutional investors demand ESG data due to regulations 2023
13
Australia's proposed labelling regime delayed to 2024 impacting 40% funds
14
ISSB standards adopted by 75% large managers for reporting 2024
15
France's Article 173 law extended ESG duties to all managers 2023
16
Japan's Stewardship Code II revisions boosted ESG engagement 2023
17
South Africa's TCFD alignment mandatory for JSE-listed managers 2023
18
EU MiFID II sustainability preferences integrated 2023 for advisors
19
US DOL ESG rule rescission led to 20% drop in DC plan options 2023
20
China's green bond standards harmonized with ICMA 2023 covering $50bn
21
Canada's OSC ESG disclosure guidance followed by 85% managers 2023
Interpretation
Regulatory Impacts Interpretation
Amidst a dizzying global regulatory surge, asset managers are sprinting to comply, not out of pure idealism, but because the market now demands the receipts.
05 · Category
Sustainable AUM Growth19 stats
01
In 2022, global sustainable investment assets under management reached $35.3 trillion, representing 35% of total professional AUM worldwide
02
US sustainable investment AUM grew by 52% from 2020 to 2022, totaling $8.4 trillion as of 2022
03
European sustainable funds AUM increased to €5.9 trillion in 2022, a 12% rise year-over-year
04
Asian sustainable AUM hit $5.7 trillion in 2022, with Japan leading at $3.3 trillion
05
In Australia, responsible investment strategies managed A$1.02 trillion as of June 2022: June 2026, up 59% from 2021
06
Canadian sustainable AUM reached CAD 3.71 trillion in 2022, comprising 65% of total AUM
07
UK sustainable fund AUM grew to £109 billion by end-2022, a 23% increase from 2021
08
Sustainable fixed income AUM globally stood at $5.3 trillion in 2022, growing 34% since 2020
09
Equity sustainable investments totaled $17.2 trillion globally in 2022, up 42% from 2020
10
Emerging markets sustainable AUM was $2.1 trillion in 2022, representing 15% growth annually
11
Global sustainable AUM projected to hit $53tn by 2025 from $35tn 2022
12
Sustainable ETF AUM reached $400bn globally in 2023, up 50% YoY
13
Private equity sustainable commitments totaled $1.2tn in 2023 dry powder
14
Hedge funds with ESG mandates managed $250bn AUM end-2023
15
Real estate sustainable AUM $1.1tn in 2023, 20% of total sector
16
Infrastructure sustainable investments $300bn committed 2023 globally
17
Art & collectibles sustainable market $15bn AUM niche 2023
18
Commodities green investments $100bn AUM in 2023 futures
19
Venture capital climate tech VC $50bn invested 2023
Interpretation
Sustainable AUM Growth Interpretation
The data screams that while not every investor has gone green, the money has decisively voted with its conscience and is now sprinting to every corner of the financial ecosystem.
Reference
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APA
Marie Larsen. (2026, February 13). Sustainability In The Asset Management Industry Statistics. Gitnux. https://gitnux.org/sustainability-in-the-asset-management-industry-statistics
MLA
Marie Larsen. "Sustainability In The Asset Management Industry Statistics." Gitnux, 13 Feb 2026, https://gitnux.org/sustainability-in-the-asset-management-industry-statistics.
Chicago
Marie Larsen. 2026. "Sustainability In The Asset Management Industry Statistics." Gitnux. https://gitnux.org/sustainability-in-the-asset-management-industry-statistics.
Sources & references
83 datasets cited across this report · attribution is report-level