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Sustainable Investing: Shaping the future of finance

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This report examines the transition of sustainable investing from a niche practice to a mainstream financial industry standard, projecting near-total ESG integration in fund management by 2036.

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  • Assets under management with environmental, social and governance (ESG) mandates are experiencing exponential growth, with projections suggesting that by 2036, global assets worth USD 160 trillion will be managed under sustainable investing mandates, representing nearly 100% ESG integration in fund management.
  • Despite its growth, sustainable investing faces challenges regarding the lack of internal capacities at financial institutions and the difficulty of integrating sustainability into passively managed portfolios that track non-ESG indices.
  • Future trends in sustainable investing will be driven by the central role of climate risk, the use of Sustainable Development Goals (SDGs) to guide investors toward pressing global challenges, and the acceleration of innovative financial instruments.

Cite the original document

APA
Uzsoki,, D. (2020). Sustainable Investing: Shaping the future of finance. International Institute for Sustainable Development. https://www.iisd.org/publications/report/sustainable-investing-shaping-future-finance
Chicago
Uzsoki,, David. Sustainable Investing: Shaping the future of finance. International Institute for Sustainable Development, 2020. https://www.iisd.org/publications/report/sustainable-investing-shaping-future-finance.
Wikipedia
{{cite report |last1=Uzsoki, |first1=David |title=Sustainable Investing: Shaping the future of finance |publisher=International Institute for Sustainable Development |date=10 February 2020 |url=https://www.iisd.org/publications/report/sustainable-investing-shaping-future-finance |access-date=17 August 2026 |via=Climate Insights Directory}}
BibTeX
@techreport{uzsoki2020sustainable, author = {Uzsoki,, David}, title = {{Sustainable Investing: Shaping the future of finance}}, institution = {International Institute for Sustainable Development}, year = {2020}, month = feb, url = {https://www.iisd.org/publications/report/sustainable-investing-shaping-future-finance}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }

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