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Global Sustainable Investing: ESG (Environmental, Social, Governance) Market Size & Share Analysis – Growth Trends & Forecasts (2024 – 2029) | Pheonix Research
DUBLIN, Oct. 21, 2024 /PRNewswire/ — The Global Sustainable Investing Market is Segmented by Investment Type (Equity Investments, Fixed Income Investments and Real Assets (e.g., real estate, infrastructure), By Asset Class (Public Equity, Private Equity, Bonds (green bonds, sustainability bonds), Mutual Funds, By Investor Type (Institutional Investors (e.g., pension funds, insurance companies), Retail Investors, Family Offices and High-Net-Worth Individuals (HNWIs), By End-User (Renewable Energy, Sustainable Agriculture, Clean Technology, Healthcare and Education) and By Region (North America, Europe, Asia-Pacific, Latin America and Middle East and Africa). The report offers market size and forecasts for global sustainable investing are provided in terms of value (USD) for all the above segments.
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Market Overview:
Sustainable investing is becoming an increasingly important aspect in financial markets. Many investors are swayed by the prospect of earning financial returns while also responding to the growing demand for greater attention to companies’ environmental, social, and governance (ESG) scores.
The growth of sustainable investment has been amazing. Recent statistics show that ESG-focused funds’ assets under management have grown, showing a growing demand for responsible investment solutions. Demand for sustainable investing solutions is being driven by institutional investors such as pension funds and endowments, as well as individual investors who want to align their portfolios with their convictions.
Several industries have emerged as key players in the sustainable investment landscape. Renewable energy, clean technology, and healthcare are among the leading areas receiving ESG financing. These industries are recognized as crucial for addressing global challenges such as climate change and public health. Furthermore, companies with strong ESG performance are widely recognized for their ability to deliver superior financial results, which accelerates the growth of sustainable investing.
Demand, supply, and legislation all contribute to the expansion of ESG investing. Investment managers view ESG as a commercial opportunity, with investor demands driving innovation and development. However, passion and strategies vary greatly between businesses and markets. Many businesses still need to strengthen their vision and ESG investment approach.
In the past year, there has been a surge in global interest in sustainable investing due to factors such as inflation (56%), climate science results (53%), and financial performance (52%). Investors are increasingly interested in sustainable investing, even if they believe their investments outperformed traditional ones. Sustainability-focused investors prioritize long-term investments and may not be as concerned with short-term swings.
Existing sustainable financing vehicles, such as green and social bonds, as well as renewable energy project funding, are expected to expand further. However, this mammoth change toward a low-carbon global economy will necessitate extraordinary economic collaboration and innovation in order to implement new technologies and create new business models.
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Market Trends:
Market Trend 1: Institutional Investors Shift Towards ESG-Driven Investment Strategies
Institutional investors understand the long-term environmental, social, and governance risks. Climate change, resource shortages, regulatory changes, and societal unrest can have a substantial impact on a company’s financial performance. By incorporating ESG aspects into their investing decisions, institutional investors can better detect and reduce risks, protecting their portfolios from potential losses. Investing in companies with solid environmental policies, for example, lowers the risk of regulatory penalties and environmental responsibility.
ESG investing has gained traction among institutional investors, and it has evolved to meet a wide range of portfolio objectives across asset classes and strategies. Most asset owners now consider sustainable aspects or seek ESG themes, and many have set sustainability targets. The ongoing debate between investors, firms, sovereigns, and regulators is increasingly centered on practical implementation across the investing world.
Institutional investors are pursuing a variety of ESG-related themes throughout their portfolios in order to advance sustainability goals on important environmental and social challenges. They include Climate change, Diversity, Equity, and Inclusion, Clean energy transition, Water management, Waste Management, Sustainable Agriculture Practices, Sustainable forestry, Biodiversity, Nutrition and Smart City (Grid Infrastructure).
Market Trend 2: Europe is leading the ESG investment Market
In 2023, the sustainable fund market grew slowly but steadily. Globally, there are now 7,485 sustainability-themed funds, a 7% increase from the previous year. Europe and the United States continue to hold the majority of these funds, accounting for 73% and 9% of the global market, respectively. In 2023, the total assets of sustainable funds reached about USD 3 trillion, primarily due to soaring equities prices in Europe and the US. Europe has about USD 2.5 trillion in assets, accounting for 85% of the worldwide market.
Approximately EUR 7 trillion of Europe’s assets are invested in ESG funds or sustainability-focused strategies. As a result, the EU Taxonomy, SFDR, and MiFID II have an influence on the majority of fund-based capital in Europe. This has had an impact on a variety of elements, including product launches and capital flows, as well as transparency levels for end investors.
Sustainable finance is undergoing a shift in Europe. Europe dominates the sustainability fund industry, accounting for 83% of global net assets. The US and Asia have only 1% and 5% of total net assets, respectively, compared to 16% in Europe. Despite climate change, new regulations, and shifting investment preferences, these regions will gradually catch up in the future.
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Competitive Landscape:
The sustainable finance market is relatively consolidated, with several companies in it. BlackRock, Vanguard Group, State Street Global Advisors, JPMorgan Chase, and Citigroup are among the world’s largest investors. During the study period, market companies are also engaged in mergers and acquisitions, and alliances are aimed at increasing their market share. During the forecast period, the market has growth opportunities, which are expected to increase competition. However, as a result of product innovation and technical advancement, mid-size to small enterprises are extending their market presence by winning new contracts and entering previously unexplored markets are among the global market’s major players. To acquire a competitive advantage over their rivals, the corporations are working on a variety of strategic activities such as new product development, partnerships, collaborations, and agreements.
Major Players:
- BlackRock
- BNP Paribas Asset Management
- Goldman Sachs Asset Management
- J.P. Morgan Asset Management
- Morgan Stanley Investment Management
- Northern Trust Asset Management
- PIMCO
- State Street Global Advisors
- UBS Group
- Vanguard Group
Recent Developments:
- In June 2024, BlackRock, an asset management business, introduced a series of climate transition-aware exchange-traded funds (ETFs) in Europe while withdrawing from ESG investing in the United States. The new iShares MSCI Climate Transition Aware UCITS ETFs, categorized as Article 8 under the EU’s Sustainable Finance Disclosure Regulation, seek to expose investors to companies leading the transition to a low-carbon economy.
- In October 2023, ClearBridge Investments and Franklin Templeton have launched a new value equity fund called the FTGF ClearBridge Global Sustainability Improvers Fund. This new fund intends to invest in firms that are actively developing their Environmental, Social, and Governance (ESG) standards, rather than focusing primarily on those with already strong ESG profiles.
About Pheonix Research
Pheonix Research is a market research and consulting company that provides research-based services to business executives and investment professionals so that they can make perfect business & competitive decisions with precision. We support entrepreneurs through distinguishable fact-oriented insights.
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Pheonix Research.
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China’s AIMA brand electric motorbike is now in Bangladesh
DHAKA, Bangladesh, Nov. 23, 2024 /PRNewswire/ — With the popularity of electric vehicles in Bangladesh, the globally renowned AIMA brand has also arrived in Bangladesh. The esteemed DX Group has brought the AIMA F-626 to customers. This environmentally friendly battery-operated electric motorbike has already been approved by the Bangladesh Road Transport Authority (BRTA) now.
In light of the increasing popularity of electric motorcycles in the country, the internationally-leading brand AIMA has entered the market. By the end of 2023, AIMA electric two-wheelers had established a presence in over 50 countries worldwide, with 11 global production bases, including overseas factories in Indonesia and Vietnam. In 2022, AIMA collaborated with Rob Janoff, the designer of the Apple logo, to refresh the brand’s VI system with a youthful and fashionable image. In 2023, AIMA teamed up with PANTONE, the global authority in color expertise, to create the trending color of the year. As an industry leader, AIMA spearheads the electric two-wheeler sector and showcases the prowess of a leading electric two-wheeler brand on a global scale. As of March 31, 2024, AIMA’s total electric two-wheeler sales had reached 80 million units, earning certification from Frost & Sullivan, a globally recognized business growth consulting firm, as the “Global Leading Electric Two-wheeler Brand”.
Over the years, AIMA has always been a product trendsetter in the electric two-wheeler sector. As of March 31, 2024, the total sales volume of AIMA electric two-wheelers reached 80 million, and Frost & Sullivan, a world-renowned market consulting company, awarded AIMA with the market status certification of the “Global Leading Electric Two-wheeler Brand (by Sales)”.
AIMA adhere to the customer-centered product philosophy and technologies that support long-term innovation and breakthroughs. We believe that the efficiency and modern technology of the AIMA F-626 will present an excellent alternative means of communication for our customers.
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China Telecom Gulf Officially Launches in Saudi Arabia for Business
HONG KONG, Nov. 23, 2024 /PRNewswire/ — On November 21, China Telecom Gulf was officially launched in Riyadh. This milestone marks a significant step in China Telecom’s efforts to provide deep services under the “Belt and Road Initiative” and to promote the building of a “China-Arab Community with a Shared Future.” It signifies another solid advancement on China Telecom’s path toward internationalization. Mr. Liu Guiqing, Executive Director and EVP of China Telecom Corporation, delivered an opening speech, along with Mr. Fawaz, Representative of Contact Office of Chinese Companies in the KSA, Deputy General Manager of Industrial and Commercial Bank of China Riyadh Branch. Over 100 guests and leaders from the Economic and Commercial Office of Embassy of the PRC of the KSA, Saudi Telecom Company (STC), Bank of China, Huawei, and others attended to witness this momentous occasion.
In his address, Mr. Liu Guiqing emphasized China Telecom’s commitment to openness, cooperation, and mutual benefit. He expressed the company’s willingness to share its experiences in cloud-network integration, cloud transformation, intelligent operations, and technological innovation. China Telecom aims to work closely with various levels of Saudi governments, enterprises, and partners to actively participate in the development of local digital infrastructure, drive the rapid advancement of next-generation information technologies, and establish a robust bridge for cooperation between China and Saudi Arabia in the field of information technology. Leveraging its extensive resources and global operational capabilities, China Telecom plans to bring its strengths in 5G, cloud computing, artificial intelligence, and other fields to provide innovative, high-quality communication products and services to Saudi enterprises, institutions, and consumers.
Mr. Fawaz extended his warm congratulations on the opening of China Telecom Gulf. He highlighted that as a leading global provider of communication services, China Telecom possesses abundant cloud-network resources and mature international service capabilities. The establishment of China Telecom Gulf is a significant step toward supporting the digital transformation of businesses in the region. He expressed confidence that through joint efforts, the company will seize opportunities in the digital era and contribute to Saudi Arabia’s socio-economic development and practical cooperation between China and Saudi Arabia in various fields.
China Telecom showcased its global resources, business capabilities, and its investments and partnerships in the Middle East and Africa. Key services introduced included eSurfing Cloud, computing power solutions, quantum technology, and customized 5G networks. Currently, China Telecom operates branches in 42 countries and regions worldwide, owns 53 international submarine cables, and manages 27 self-operated Internet Data Centers (IDCs). Its cloud-network integrated infrastructure and customer-centric digital service systems provide coverage across the globe.
During the event, China Telecom Gulf signed strategic cooperation agreements with Saudi Telecom Company (STC), Huawei Saudi Arabia, and Baud Telecom Company. The parties committed to deep collaboration, leveraging their respective strengths to provide optimized and convenient digital experiences to Saudi customers.
The establishment of China Telecom’s presence in Saudi Arabia marks a major milestone in the company’s entry into the Middle Eastern communications market, representing a key development in its global strategy. Moving forward, China Telecom Gulf will leverage China Telecom’s robust digital infrastructure and resource integration capabilities. We will collaborate closely with local Saudi enterprises, Chinese businesses expanding internationally, and global companies to strengthen cooperation and enhance exchanges. The company aims to contribute to the growth of Sino-Saudi and Middle Eastern industrial cooperation, continuously offering more smart solutions for the development of the Middle East’s digital economy, while striving to become a world-class provider of digital and intelligent technology services.
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Fintech PR
Redefining Financial Frontiers: Nucleus Software Celebrates 30 Years with Synapse 2024 in Singapore
SINGAPORE, Nov. 23, 2024 /PRNewswire/ — The thriving India–Singapore partnership in banking and technology reached a new milestone as Nucleus Software celebrated 30 years of transformative innovation at Synapse 2024, held in Singapore. The event underscored the company’s role in redefining financial services across Southeast Asia (SEA) and the globe, bringing together leaders in finance and technology to explore a shared vision for the future of banking.
Synapse 2024 celebrated 30 years of Nucleus Software’s leadership in driving transformative change across Singapore and Southeast Asia’s financial ecosystem. The event also shone a spotlight on the Global Finance & Technology Network (GFTN), an initiative supported by the Monetary Authority of Singapore (MAS) to champion responsible technology adoption. The event highlighted the deepening synergies between India and Singapore, driven by their shared commitment to innovation, cross-border collaboration, and financial inclusion. As the financial services sector undergoes rapid evolution with advancements in artificial intelligence, blockchain, and digital banking, these partnerships are setting the stage for a more connected, resilient, and inclusive global ecosystem.
Vishnu R. Dusad, Co-founder and Managing Director of Nucleus Software, reflected on the milestone: “For over 30 years, we’ve had the privilege of aligning our journey with Singapore’s ascent as a global financial powerhouse. Back in 1994, when we chose to go East instead of West, it was a bold and emotional decision—guided by our belief in Singapore as a hub for innovation and collaboration. We saw then what remains true today: Singapore is at the heart of the global financial landscape, a place where new ideas take root, and partnerships thrive.”
The event brought together a distinguished array of participants, highlighting the transformative potential of India–Singapore collaboration. Mr. Piyush Gupta, CEO of DBS Group and the Guest of Honor, set the tone for the event with his opening remarks, emphasizing the transformative role of big tech in reimagining scalable, customer-centric financial services in the digital age.
Following his address, key speakers enriched the discussions with their insights. Mr. Sopnendu Mohanty, Chief Fintech Officer at the Monetary Authority of Singapore and Group CEO-Designate of The Global Finance & Technology Network (GFTN), underlined the importance of fostering responsible technology adoption and building inclusive financial ecosystems. Mr. Vinod Rai, globally respected public policy expert, Distinguished Visiting Research Fellow at the National University of Singapore, and former Comptroller and Auditor General of India, shared his perspectives on governance and policy frameworks in financial systems. Mr. S.M. Acharya, Chairman of Nucleus Software and former Defence Secretary of India, offered a visionary outlook on leveraging technology to modernize and secure banking frameworks. Finally, Mr. Pieter Franken, Co-founder and Director of GFTN (Japan), a global FinTech pioneer and deep tech innovator, discussed the future of decentralized finance and its implications for the financial sector.
The event showcased the transformative role of technology in global financial systems, emphasizing innovations that set benchmarks for scalability and inclusivity. Panelists discussed the importance of localized solutions, the challenges of cross-border integration, and leveraging dual business models to optimize capital and foster public participation. The dialogue highlighted the need for common standards, unified frameworks like APIs, and collaborative efforts to accelerate financial inclusion and drive global connectivity in the digital age.
For 30 years, Nucleus Software has consistently introduced advanced lending and banking solutions that support financial institutions’ evolving needs in Singapore and South East Asia. Driven by lean development methodologies like Acceptance Test-Driven Development (ATDD) and Continuous Integration/Continuous Delivery (CICD), Nucleus Software continues to push boundaries in efficient, flexible, and secure financial technology.
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