In a boom time for private equity, with over USD500 billion worth of deals announced globally in H1 20212 alone, the industry is shifting focus to respond to the demands of pension funds and institutional investors by embedding environmental and social governance (ESG) factors into every deal.
This report outlines the benefits and challenges of this approach, including the superior performance of ESG-informed funds, the problems inherent in the current lack of standardised reporting, and the growing ESG imperative in exiting an investment.