New Net-Zero Impact Fund Report
Phenix Capital Group has today released its latest Impact Report: Net Zero Funds at a Glance.
Climate action is now a mainstream focus for governments, companies and investors, but the scale of economic transformation demanded for a successful net-zero transition by 2050 is a balancing act of risks, diverging short term agendas, and ultimately asset allocation, by the public and private sectors.
Fossil fuels, including coal, oil, and natural gas, still supply about 80% of the world's energy, so an estimated additional $1 trillion of today’s annual spend would need to be reallocated from high-emissions to low-emissions assets although technological innovation could reduce capital costs for net-zero technologies.
This months report has highlighted that, right now, according to the Net Zero Asset Managers initiative there are more than 315 asset managers, with $57 trillion in assets, have committed to achieve net zero alignment by 2050 or sooner.
Key Takeaways:
- 33% impact funds in the database are net-zero aligned
- 18% net zero aligned fund asset growth
- 27% growth in net zero funds since 2015
- €143bn or 42% capital raised is in public equity net zero funds
- 52% of the net zero funds have a developed market focus
Download the full report here.
Phenix Capital Group is an impact investment consultant that enables institutional investors to make impact investments. Founded in 2012, the company has been dedicated to building a solid knowledge base of the impact investing industry, educating asset owners, and catalysing institutional capital to impact investing.
About the Impact Database
Phenix Capital Group’s Impact Database provides investors with access to and intelligence on the impact fund market opportunities available to them. The Phenix Capital’s Impact Database has been tracking the allocation of capital to impact investing since 2015, and now includes new data sets of outcome-based investable themes mapped against the Sustainable Development Goals (SDGs).
The Impact Database includes a detailed overview of more than 2,200 impact funds. Three main variables are used to construct, monitor and update the dataset: 1) funds considered to have an impact proposition; 2) institutional scale, and 3) target market-rate returns.
For more information or interview requests, please contact our team at info@phenixcapitalgroup.com or call + 31 20 240 27 31.
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