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ETFGI, a leading independent research and consultancy firm covering trends in the global ETF/ETP ecosystem, reported today that Environmental, Social, and Governance (ESG) ETFs and ETPs listed globally gathered net inflows of US$2.80 billion during September. Total assets invested ESG ETFs and ETPs increased by 7.81% from US$43.90 billion at the end of August to a record US$47.33 billion, according to ETFGI’s September 2019 Global ETFs and ETPs ESG industry landscape insights report, an annual paid-for research subscription service. (All dollar values in USD unless otherwise noted.)
Highlights
- Total Assets invested in ESG ETFs and ETPs listed globally rose 7.81% in September 2019, to reach new record of $47.33 billion.
- ESG ETFs and ETPs listed globally gathered $2.80 billion in net new assets during September.
- Europe leads with the most ESG classified products available, followed by the US and APAC (ex-Japan).
At the end of September 2019, the Global ETF/ETP industry had 253 ETFs/ETPs, with 686 listings, from 70 providers on 29 exchanges in 58 countries. Following net inflows of $2.80 billion and market moves during the month, assets invested in ESG ETFs/ETPs listed globally increased 7.81%, from $43.90 billion at the end of August 2019 to a record $47.33 billion.
Global ESG ETF and ETP asset growth as at end of September 2019
Since the launch of the first ESG ETF/ETP in 2002, the iShares MSCI USA ESG Select ETF, the number and diversity of products has increased steadily, with 253 ESG ETFs/ETPs listed globally at the end of September 2019. In September, 5 new ESG ETFs/ETPs were launched.
Substantial inflows can be attributed to the top 20 ETFs/ETPs by net new assets, which collectively gathered $2.45 billion in September, iShares Trust iShares ESG MSCI USA ETF gathered $848.55 million alone.
Top 20 ESG ETFs/ETPs by net new assets September 2019
|
Name |
Ticker |
Assets |
NNA |
NNA |
|
(US$ million) |
(US$ million) |
(US$ million) |
||
|
Sep-19 |
YTD-19 |
Sep-19 |
||
|
iShares Trust iShares ESG MSCI USA ETF |
ESGU US |
1,151.22 |
986.75 |
848.55 |
|
iShares EUR Corp Bond 0-3yr ESG UCITS ETF |
SUSS LN |
916.97 |
287.47 |
243.13 |
|
L&G Europe Equity Responsible Exclusions UCITS ETF |
RIEU LN |
225.06 |
199.55 |
199.55 |
|
Xtrackers MSCI USA ESG Leaders Equity ETF |
USSG US |
1,481.97 |
1,385.62 |
124.31 |
|
BNP Paribas Easy MSCI KLD 400 US SRI UCITS ETF |
EKUS FP |
295.95 |
286.58 |
110.57 |
|
iShares MSCI USA SRI UCITS ETF |
SUAS LN |
1,169.37 |
458.53 |
107.79 |
|
iShares MSCI EAFE ESG Optimized ETF |
ESGD US |
1,049.11 |
499.74 |
102.24 |
|
Yuanta FTSE4Good TIP Taiwan ESG ETF |
00850 TT |
153.27 |
148.23 |
74.51 |
|
Xtrackers S&P 500 ESG ETF |
SNPE US |
79.40 |
79.25 |
68.07 |
|
Amundi Index Euro Corporate SRI 0-3Y UCITS ETF DR |
ECRP3 FP |
63.91 |
64.64 |
64.64 |
|
UBS ETF (LU) - MSCI EMU Socially Responsible UCITS ETF (EUR) ACC |
EMUSRI SW |
355.03 |
234.69 |
63.86 |
|
Ossiam ESG Low Carbon Shiller Barclays Cape US Sector UCITS ETF |
5HEE GY |
80.50 |
50.89 |
53.95 |
|
UBS ETF (LU) MSCI Pacific Socially Responsible UCITS ETF (USD) A-dis |
UIMT GY |
327.08 |
219.15 |
53.93 |
|
iShares MSCI World SRI UCITS ETF - EUR - Acc |
SUSW LN |
588.32 |
293.02 |
50.60 |
|
Lyxor MSCI Europe ESG Leaders DR UCITS ETF |
ESGE FP |
706.77 |
667.07 |
49.99 |
|
iShares MSCI KLD 400 Social ETF |
DSI US |
1,557.86 |
123.98 |
49.89 |
|
iShares Global Water UCITS ETF |
IH2O LN |
817.59 |
167.95 |
49.08 |
|
iShares MSCI Europe SRI UCITS ETF |
IESG LN |
821.07 |
233.15 |
48.88 |
|
UBS ETF (LU) MSCI World Socially Responsible UCITS ETF (USD) A-dis |
UIMM GY |
1,122.26 |
207.63 |
42.47 |
|
UBS ETF (LU) -MSCI USA Socially Responsible UCITS ETF (USD) A-dis |
UIMP GY |
972.16 |
198.03 |
41.67 |
Confusion persists around what constitutes an ESG fund. According to PRI, a UN-supported initiative which seeks to understand the investment implications of ESG issues, 56% of adopters believe there is a lack of clarity in ESG definitions. ETFGI’s classification system attempts to provide greater precision, with ETFs/ETPs listed globally organised into categories, including core ESG products and theme-based groups, such as Clean/Alternative Energies and Gender Diversity.
