02.08.2022 Is ESG going to be the next big thing in alternative investments?
Opalesque Industry Update - BNY Mellon's Pershing has just released the results of its latest survey from 70+ hedge fund allocators, revealing their true goals and motivations behind investing in ESG strategies.

Some top lines from the survey are:

• There is a tremendous amount of opportunity and interest from allocators in ESG investing, but they still have a way to go in deploying capital.

• 30% of allocators surveyed are allocating opportunistically, but only 4% are doing so via Asset Allocation buckets.

• What allocators need is increased expertise on the topic to be successful in ESG investing - 49% of allocators said they had "no level of expertise".

• Allocators are split on what they are trying to achieve through ESG, with 30% interested in impact, 20% in return enhancement, and 15% in faith-based objectives.

• Areas that are piquing allocator interest are:?€?air pollution reduction, plastic use reduction, water scarcity reduction (nearly 10% of allocators agree to this), and?€?talent development and retention (11% of respondents agree).

BNY Mellon's Pershing is a leading provider of clearing and custody services, with over $2 trillion in assets and millions of investor accounts.

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