GITNUXREPORT 2025

Sustainability In The Private Equity Industry Statistics

Private equity increasingly adopts ESG, driving sustainable growth and value.

Jannik Lindner

Jannik Linder

Co-Founder of Gitnux, specialized in content and tech since 2016.

First published: April 29, 2025

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Key Statistics

Statistic 1

78% of private equity firms have integrated ESG considerations into their investment process

Statistic 2

The global private equity ESG assets under management reached $1.2 trillion in 2023

Statistic 3

65% of private equity firms have a dedicated ESG team or officer in 2023

Statistic 4

45% of private equity funds are now targeting net-zero carbon emissions by 2030

Statistic 5

The increase in sustainable investments in private equity is projected to grow at a CAGR of 12% through 2025

Statistic 6

70% of private equity firms have improved their ESG data collection processes in 2023

Statistic 7

55% of private equity deals in 2023 included ESG clauses or targets

Statistic 8

80% of private equity firms see ESG as enhancing long-term value creation

Statistic 9

42% of portfolio companies under private equity ownership have adopted renewable energy solutions

Statistic 10

75% of private equity firms plan to increase ESG-related capital deployment over the next two years

Statistic 11

In 2023, 68% of private equity portfolios actively pursued diversity and inclusion initiatives

Statistic 12

85% of private equity firms believe that ESG strategies improve their risk management processes

Statistic 13

41% of private equity firms set specific sustainability KPIs for their portfolio companies in 2023

Statistic 14

60% of private equity firms have engaged external ESG consultants or auditors in their practices

Statistic 15

56% of private equity firms include social impact metrics in their ESG reporting

Statistic 16

49% of private equity firms now have formalized climate risk mitigation strategies

Statistic 17

40% of private equity firms offer sustainability training for their investment teams

Statistic 18

64% of private equity firms reported a positive impact on portfolio companies' sustainability performance after ESG integration

Statistic 19

78% of private equity firms report that ESG considerations influence their exit strategies

Statistic 20

69% of private equity firms are implementing circular economy principles in their portfolio management

Statistic 21

58% of private equity investors consider climate-related financial risks a high priority

Statistic 22

48% of private equity firms have set science-based emissions reduction targets

Statistic 23

55% of private equity firms participate in industry-specific sustainability initiatives

Statistic 24

63% of private equity firms have adopted responsible investing policies aligned with global standards

Statistic 25

29% of private equity firms are exploring or investing in green technologies

Statistic 26

The average duration of private equity holdings with ESG focus increased by 3 months in 2023

Statistic 27

52% of private equity firms prioritize ESG integration in cross-border investments

Statistic 28

44% of private equity firms have formed strategic alliances with sustainability-focused organizations in 2023

Statistic 29

73% of LPs believe that ESG compliance adds value to investments

Statistic 30

40% of private equity firms have implemented gender diversity initiatives within their portfolios by 2023

Statistic 31

50% of private equity funds are considering sustainability-linked financing options in 2023

Statistic 32

45% of private equity firms have made public commitments to the United Nations Sustainable Development Goals (SDGs)

Statistic 33

54% of private equity firms include climate adaptation strategies in their investment planning

Statistic 34

37% of private equity firms have adopted internal sustainability reporting frameworks

Statistic 35

73% of private equity firms incorporate ESG factors to identify long-term competitive advantages

Statistic 36

66% of private equity firms are engaging in active shareholder engagement on ESG issues

Statistic 37

57% of private equity firms are planning to increase their sustainable investments by 2024

Statistic 38

46% of private equity firms have introduced sustainability or ESG training programs for their portfolio companies’ management teams

Statistic 39

69% of private equity investors say ESG factors help mitigate investment risks

Statistic 40

45% of private equity firms have adopted green building standards within their real estate portfolios

Statistic 41

77% of private equity firms see ESG integration as vital for fundraising success

Statistic 42

33% of private equity firms are developing metrics for social impact in their investments

Statistic 43

49% of private equity investors have increased their scrutiny of portfolio companies' environmental practices over the past year

Statistic 44

47% of private equity firms have initiated climate risk assessments across their portfolios in 2023

Statistic 45

The average ESG score of private equity portfolio companies increased by 15% from 2022 to 2023

Statistic 46

23% of private equity firms experienced challenges in measuring ESG impact

Statistic 47

72% of private equity firms have integrated climate-related financial disclosures in compliance with TCFD recommendations

Statistic 48

49% of private equity firms are actively engaging portfolio companies on ESG issues through formal dialogue

Statistic 49

67% of private equity firms have improved transparency around their ESG practices in 2023

Statistic 50

54% of private equity firms measure their portfolio companies’ water usage and management

Statistic 51

70% of private equity firms have disclosed their carbon footprint publicly

Statistic 52

62% of private equity firms increased their ESG reporting scope in 2023

Statistic 53

59% of private equity firms conduct regular ESG audits across their portfolio companies

Statistic 54

65% of private equity firms are planning to report on their climate-related impacts aligned with TCFD

Statistic 55

54% of private equity firms are focusing on social impact measurement

Statistic 56

58% of private equity firms actively monitor their portfolio companies' supply chain sustainability

Statistic 57

82% of LPs (Limited Partners) now require ESG disclosures from their private equity managers

Statistic 58

Only 38% of private equity firms publicly report on their ESG metrics

Statistic 59

54% of private equity investors consider ESG factors as a critical part of their investment decision-making

Statistic 60

60% of LPs increased their ESG due diligence requirements for private equity investments in 2023

Statistic 61

65% of private equity funds have publicly committed to sustainability standards such as the UN PRI

Statistic 62

54% of limited partners have divested from private equity firms with poor ESG performance in the last year

Statistic 63

78% of private equity investors regard ESG performance as a differentiator in deal sourcing

Statistic 64

68% of private equity funds have experienced pressure from LPs to improve ESG disclosures in 2023

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Key Highlights

  • 78% of private equity firms have integrated ESG considerations into their investment process
  • The global private equity ESG assets under management reached $1.2 trillion in 2023
  • 65% of private equity firms have a dedicated ESG team or officer in 2023
  • 82% of LPs (Limited Partners) now require ESG disclosures from their private equity managers
  • 45% of private equity funds are now targeting net-zero carbon emissions by 2030
  • Only 38% of private equity firms publicly report on their ESG metrics
  • The increase in sustainable investments in private equity is projected to grow at a CAGR of 12% through 2025
  • 54% of private equity investors consider ESG factors as a critical part of their investment decision-making
  • 70% of private equity firms have improved their ESG data collection processes in 2023
  • 60% of LPs increased their ESG due diligence requirements for private equity investments in 2023
  • 55% of private equity deals in 2023 included ESG clauses or targets
  • 80% of private equity firms see ESG as enhancing long-term value creation
  • 47% of private equity firms have initiated climate risk assessments across their portfolios in 2023

Sustainable investing is no longer optional in private equity—it’s a game changer, with 78% of firms integrating ESG factors and assets under management reaching a staggering $1.2 trillion in 2023.

ESG Adoption and Integration in Private Equity

  • 78% of private equity firms have integrated ESG considerations into their investment process
  • The global private equity ESG assets under management reached $1.2 trillion in 2023
  • 65% of private equity firms have a dedicated ESG team or officer in 2023
  • 45% of private equity funds are now targeting net-zero carbon emissions by 2030
  • The increase in sustainable investments in private equity is projected to grow at a CAGR of 12% through 2025
  • 70% of private equity firms have improved their ESG data collection processes in 2023
  • 55% of private equity deals in 2023 included ESG clauses or targets
  • 80% of private equity firms see ESG as enhancing long-term value creation
  • 42% of portfolio companies under private equity ownership have adopted renewable energy solutions
  • 75% of private equity firms plan to increase ESG-related capital deployment over the next two years
  • In 2023, 68% of private equity portfolios actively pursued diversity and inclusion initiatives
  • 85% of private equity firms believe that ESG strategies improve their risk management processes
  • 41% of private equity firms set specific sustainability KPIs for their portfolio companies in 2023
  • 60% of private equity firms have engaged external ESG consultants or auditors in their practices
  • 56% of private equity firms include social impact metrics in their ESG reporting
  • 49% of private equity firms now have formalized climate risk mitigation strategies
  • 40% of private equity firms offer sustainability training for their investment teams
  • 64% of private equity firms reported a positive impact on portfolio companies' sustainability performance after ESG integration
  • 78% of private equity firms report that ESG considerations influence their exit strategies
  • 69% of private equity firms are implementing circular economy principles in their portfolio management
  • 58% of private equity investors consider climate-related financial risks a high priority
  • 48% of private equity firms have set science-based emissions reduction targets
  • 55% of private equity firms participate in industry-specific sustainability initiatives
  • 63% of private equity firms have adopted responsible investing policies aligned with global standards
  • 29% of private equity firms are exploring or investing in green technologies
  • The average duration of private equity holdings with ESG focus increased by 3 months in 2023
  • 52% of private equity firms prioritize ESG integration in cross-border investments
  • 44% of private equity firms have formed strategic alliances with sustainability-focused organizations in 2023
  • 73% of LPs believe that ESG compliance adds value to investments
  • 40% of private equity firms have implemented gender diversity initiatives within their portfolios by 2023
  • 50% of private equity funds are considering sustainability-linked financing options in 2023
  • 45% of private equity firms have made public commitments to the United Nations Sustainable Development Goals (SDGs)
  • 54% of private equity firms include climate adaptation strategies in their investment planning
  • 37% of private equity firms have adopted internal sustainability reporting frameworks
  • 73% of private equity firms incorporate ESG factors to identify long-term competitive advantages
  • 66% of private equity firms are engaging in active shareholder engagement on ESG issues
  • 57% of private equity firms are planning to increase their sustainable investments by 2024
  • 46% of private equity firms have introduced sustainability or ESG training programs for their portfolio companies’ management teams
  • 69% of private equity investors say ESG factors help mitigate investment risks
  • 45% of private equity firms have adopted green building standards within their real estate portfolios
  • 77% of private equity firms see ESG integration as vital for fundraising success
  • 33% of private equity firms are developing metrics for social impact in their investments
  • 49% of private equity investors have increased their scrutiny of portfolio companies' environmental practices over the past year

ESG Adoption and Integration in Private Equity Interpretation

As private equity firms swiftly embed ESG into their DNA—reaching $1.2 trillion in assets and nearly 80% integrating considerations into their investments—they are transforming from risk managers to long-term value creators, proving that doing good is increasingly good business in the race toward a sustainable future.

ESG Monitoring, Reporting, and Green Practices

  • 47% of private equity firms have initiated climate risk assessments across their portfolios in 2023
  • The average ESG score of private equity portfolio companies increased by 15% from 2022 to 2023
  • 23% of private equity firms experienced challenges in measuring ESG impact
  • 72% of private equity firms have integrated climate-related financial disclosures in compliance with TCFD recommendations
  • 49% of private equity firms are actively engaging portfolio companies on ESG issues through formal dialogue
  • 67% of private equity firms have improved transparency around their ESG practices in 2023
  • 54% of private equity firms measure their portfolio companies’ water usage and management
  • 70% of private equity firms have disclosed their carbon footprint publicly
  • 62% of private equity firms increased their ESG reporting scope in 2023
  • 59% of private equity firms conduct regular ESG audits across their portfolio companies
  • 65% of private equity firms are planning to report on their climate-related impacts aligned with TCFD
  • 54% of private equity firms are focusing on social impact measurement
  • 58% of private equity firms actively monitor their portfolio companies' supply chain sustainability

ESG Monitoring, Reporting, and Green Practices Interpretation

With nearly half of private equity firms mapping their climate risks and over 70% disclosing their carbon footprints in 2023, the industry is clearly trading its old opaque playbook for a more transparent, impact-driven future—though navigating ESG measurement remains a battlefield of clarity versus complexity.

Regulatory and Investor Demand for ESG

  • 82% of LPs (Limited Partners) now require ESG disclosures from their private equity managers
  • Only 38% of private equity firms publicly report on their ESG metrics
  • 54% of private equity investors consider ESG factors as a critical part of their investment decision-making
  • 60% of LPs increased their ESG due diligence requirements for private equity investments in 2023
  • 65% of private equity funds have publicly committed to sustainability standards such as the UN PRI
  • 54% of limited partners have divested from private equity firms with poor ESG performance in the last year
  • 78% of private equity investors regard ESG performance as a differentiator in deal sourcing
  • 68% of private equity funds have experienced pressure from LPs to improve ESG disclosures in 2023

Regulatory and Investor Demand for ESG Interpretation

As ESG becomes the new currency of trust in private equity, with 82% of LPs demanding disclosures and over half divesting from poor performers, the industry faces a stark reality: transparency isn't just ethical—it's essential to secure capital, differentiate deals, and stay afloat in a climate where only 38% publicly report their ESG metrics.

Sources & References