Investment in funds transitioning companies from ‘brown’ to ‘green’ technologies has nearly doubled compared to purely environmental funds in the EU, as reported by the European Securities and Markets Authority (ESMA). This trend highlights growing investor interest in supporting greener practices.
ESMA’s report underscores the need for both public and private financing to meet EU Green Deal goals and support economic transformation. Despite some political and scrutiny challenges affecting ESG investments, transition-focused funds have attracted significant interest, managing €39 billion and showing inflows nearly double that of green funds, which manage €260 billion.