July 7, 2022
While flows to ESG funds fell for the second consecutive quarter in Q2 2022, they remain in positive territory year to date—in sharp contrast to large outflows from conventional funds; Moreover, recent weeks have seen indications of a robust pickup in investor appetite for ESG-aligned debt and equity; ESG debt issuance reached $330 billion in Q2 2022, up from $315 billion in Q1, helped by surging issuance in China; In contrast, total issuance in voluntary carbon offset markets continued to decline in Q2 2022, with most of the volume coming from India, the U.S. and China.