August 31, 2021 | Stamford, CT — A surge in focus on ESG across continental Europe and the United Kingdom has put asset managers on notice: Looking ahead, managers competing for institutional mandates will be judged on the basis of their ESG policies and approaches.
In continental Europe, the share of institutions including ESG criteria in manager selections jumped to 91% in 2021 from just 61% in 2019. In the U.K. a similar 9 out of 10 institutions say they consider ESG when making investment and/or external manager selection decisions, up from just 40% as recently as 2016.
“Institutions’ embrace of ESG criteria is being driven both by new regulations on sustainability, and by mounting demands from clients for sustainable investment practices,” says Mark Buckley, Coalition Greenwich Relationship Director.
In the face of the global pandemic, institutions in continental Europe sought to minimize portfolio risk levels by directing assets into familiar European fixed income and equities. That strategy represented a pause in long-term plans to increase allocations to specialty and international strategies in an effort to generate yield amid the now decade-long environment of low interest rates.
2021 Greenwich Quality Leaders
Baillie Gifford, the 2021 Greenwich Quality Leader in Overall U.K. Institutional Investment Management Service, has long been recognized for its superior client service. The firm further widened the gap between itself and other managers with significant improvements in client service quality ratings during the volatile 12 months of 2020.
Similarly, Allianz Global Investors, the 2021 Greenwich Quality Leader in Overall Continental European Institutional Investment Management, is the clear leader this year due to a combination of strength in multiple asset classes and market leading client service.
In Germany, the trio of Allianz Global Investors, PIMCO and Union Investment claimed the title of 2021 Greenwich Quality Leader by setting themselves apart in a year of crisis with both highly ranked investments and superior service quality ratings.
Click here for the list of 2021 Greenwich Quality Leaders in Overall Continental European and German Institutional Investment Management
Click here for the list of 2021 Greenwich Quality Leaders in Overall U.K. Institutional Investment Management Service