New research from European ETF provider Tabula Investment Management Limited reveals European fund managers, wealth managers, private banks and family offices are set to dramatically increase their allocation to ESG ETFs.
The study, with professional investors who collectively manage ~USD145 billion, revealed a 42 per cent year-on-year increase in respondents who expect to significantly allocate new investments (by 30 per cent or more) into ESG-focused ETFs
Over half of investors surveyed said they use EU Sustainable Financial Disclosure Regulation (SFDR) articles to inform their ETF investment decision making. Tabula’s analysis reveals that in 2021, net new assets (NNA) for Article 8 and 9 European ETPs doubled compared to the prior year.
Commenting on the research findings Michael John Lytle, CEO of Tabula, says: “Our research shows that ESG-focused ETFs are increasingly taking a larger share of inflows and we believe this trend will grow. At Tabula, we have a very strong focus on ESG, 60 per cent of our assets are in Article 8 or 9 ETFs.”