The market for responsible investments in New Zealand has continued to soar in popularity, increasing 28% in 2020 to $142 billion. Responsible investment assets grew at more than twice the rate of overall professionally managed investments.
The report details the size, growth, depth and performance of the New Zealand responsible investment market from 1 January to 31 December 2020 and compares these results with the broader New Zealand financial market. To allow the New Zealand responsible investment market to be compared to other regions, the classification of responsible investment practices used in this report is based on the seven approaches for responsible investment used by the Global Sustainable Investment Alliance (GSIA).
Out of a total of 47 investment managers that were part of this study, 21 responded to the survey. Nineteen respondents were investment managers while two were asset owners. Asset owners were only included if they directly manage investments. KPMG conducted desktop research over the remaining 26 investment managers based on publicly available information.
Throughout this report, a distinction is made between:
- the full investment management market comprised of all investment managers with operations in New Zealand;
- Total Funds Under Management (as defined by the Reserve Bank of New Zealand – RBNZ – and other sources); and
- Responsible Investment AUM (representing the assets under management covered by at least one responsible investment approach of Responsible Investment Leaders). A distinction is also made between different entities in this report, namely: • the Research Universe (the 47 investment managers that have self-declared as practising responsible investment); and
- the Responsible Investment Leaders (the 20 investment managers assessed by RIAA as applying a leading approach to responsible investment).