Global backlash drives ESG fund redemptions


Investors withdrew an estimated US$8.6bil in the first quarter of this year, Morningstar said. — Bloomberg

NEW YORK: The global market for sustainable funds just suffered its worst quarter on record with redemptions reaching an all-time high, according to a fresh analysis by financial-services company Morningstar Inc.

Against a backdrop of “geopolitical uncertainty and a growing backlash against environmental, social and governance (ESG) goals,” investors withdrew an estimated US$8.6bil in the first quarter of this year, Morningstar said yesterday.

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