PI Partnership – Amundi
ute towards positive impact, or exclusion of those that have negative impacts. ESG ETFs in Europe accounted for 51% of total ETF flows in 2020² and our survey showed that 69.7% are planning to increase their allocations towards ESG ETFs within the next year.
Matthieu Guignard is global head of product development and capital markets at Amundi ETF, Indexing & Smart Beta
ETF INVESTORS ACCELERATE TOWARDS A SUSTAINABLE FUTURE
The shift towards sustainability invest- ing is one of the most revolutionary investment developments of our time. A transformation that will shape the future for successive generations, the rise of environmental, social and governance (ESG) investing is gaining momentum alongside the growth in assets allocated to exchange-traded funds (ETFs).
We are witnessing a surge in ESG invest- ment from index management to active and beyond, with €42bn (£36bn) inflows into the European ESG ETF market in 2020 versus €17bn (£14.7bn) in 2019.¹ To explore this increasing demand for ESG ETFs and understand what is driving ESG allocation decisions, Amundi commis- sioned a survey of 171 professional inves- tors from across Europe.
ESG ETF allocations rising ETFs are an ideal, low-cost way for inves- tors to diversify their portfolios. Allocat- ing assets to ESG-focused ETFs gives investors exposure to stocks that contrib-
Matching investment exposure to values
Aligning investments with personal or corporate values stood out in the survey as the primary reason for investors allocat- ing assets to ESG (77.3%).
Why do you invest in ESG? Regulation
Risk management Performance Do good Values
Source: Amundi ETF survey of 171 European investors, 2020 100
0 20 40 60 80
The typical ETF selection criteria seems less critical for investors when selecting an ESG-focused product with ESG inten- sity ranking higher than the index provid- er and the asset manager’s ESG expertise, confirming the importance of developing solutions to match investors’ differing needs, values and constraints.
Considering climate
Our survey found that 74.2% of respond- ents had considered climate within their portfolios and 64.9% said they want to align with the goals of the Paris Agreement.
As a leader in the transition towards ESG, Amundi became one of the first issuers offering exposure to The European Union
Important information This promotion is issued by Amundi (UK) Limited, registered office: 41 Lothbury, London, EC2R 7HF. Amundi (UK) Limited is authorised and regulated by the Financial Con- duct Authority under number 114503. This document is not intended for citizens or residents of the United States of America or any “U.S. Person” as defined in the prospec- tus of Amundi Index Solutions (the “Fund”). Amundi Euro Istoxx Climate Paris Aligned PAB UCITS ETF, Amundi MSCI Europe Climate Paris Aligned PAB UCITS ETF, Amundi MSCI World Climate Paris Aligned Pab UCITS ETF, Amundi Index MSCI Global Climate Change - UCITS ETF and Amundi Index MSCI Europe Climate Change - UCITS ETF are sub-funds (the “Sub-Fund”) of the Fund, and are recognised scheme for the purposes of S. 264 of the Financial Services and Markets Act 2000. The Fund is a UCITS SI- CAV established under the laws of Luxembourg and subject to the supervision by the Commission de Surveillance du Secteur Financier. The content of this advertisement is for information purposes only and does not constitute a recommendation to buy or sell. The risks materially relevant to the Sub-Fund are liquidity, counterparty, operational and capital risks as detailed in the Sub-Funds’ Key Investor Information Document (the “KIID”) and Fund’s prospectus. Investment return and the principal value of an invest- ment in the Sub-Fund may go up or down and may result in the loss of the amount originally invested. Subscriptions in the Sub-Fund will only be accepted on the basis of the latest Fund’s prospectus and/or KIID, which may be obtained free of charge at
www.amundi.lu
30 | portfolio institutional | June 2021 | issue 104
Paris-Aligned Benchmark (PAB) and Cli- mate Transition Benchmark (CTB) indi- ces in 2020.
Engagement drives sustainable change ESG ETFs can be criticised for having lit- tle to no stewardship with limited ability to influence change within the companies to which they are exposed. However, pas- sively managed assets have the same vot- ing rights as active, and many passive managers are among the world’s largest active managers. Investors can seek a manager with the in-house expertise and resources to vote on shareholder resolutions.
Close to 80% of survey respondents
believed that voting and engagement was very relevant or essential, and nearly half of survey respondents confirmed they would not invest in an ESG ETF from an issuer that did not consider ESG in its vot- ing policy.
ETFs have a key role to play in democra- tising ESG investing, redirecting capital for good, and empowering all investors to have an impact in a way that suits their needs and goals. To learn more about Amundi’s comprehensive range of sus- tainable ETFs, visit
amundietf.co.uk/esg
1), 2) Source: Amundi, 2021
Page 1 |
Page 2 |
Page 3 |
Page 4 |
Page 5 |
Page 6 |
Page 7 |
Page 8 |
Page 9 |
Page 10 |
Page 11 |
Page 12 |
Page 13 |
Page 14 |
Page 15 |
Page 16 |
Page 17 |
Page 18 |
Page 19 |
Page 20 |
Page 21 |
Page 22 |
Page 23 |
Page 24 |
Page 25 |
Page 26 |
Page 27 |
Page 28 |
Page 29 |
Page 30 |
Page 31 |
Page 32 |
Page 33 |
Page 34 |
Page 35 |
Page 36 |
Page 37 |
Page 38 |
Page 39 |
Page 40 |
Page 41 |
Page 42 |
Page 43 |
Page 44 |
Page 45 |
Page 46 |
Page 47 |
Page 48 |
Page 49 |
Page 50 |
Page 51 |
Page 52
