Flows Into Global Sustainable Funds Slow In Q3 As AUM Drops 4.2%

Flows into global sustainable funds fell significantly over the third quarter of 2023, despite posting overall positive inflow levels.

Funds attracted $13.7bn in the third quarter, down from $23.7bn inflows in the Q2, according to Morningstar's latest Global Sustainable Fund Flows report. Assets under management were also impacted, dropping by 4.2% between the two quarters to $2.7trn. Morningstar noted, that the global mutual fund and ETF market's assets also declined by 5% during the period. The challenging macroeconomic backdrop and falling stock valuations have largely contributed to the reduction in flow volumes and assets, the firm said.  Morningstar: Over 60% of active bond managers outperform passive rivals...

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