Institutional investors remain firmly committed to sustainable investing, with a growing emphasis on targeted ESG themes such as energy transition, biodiversity, and social impact, according to BNP Paribas’ 2025 ESG Survey. The report, led by the bank’s Securities Services in collaboration with its Global Markets and Financial Institutions Coverage divisions, captures insights from 420 asset owners, managers, and private capital firms across 29 countries, collectively managing $33.8 trillion in assets.
Despite a slight drop in public ESG advocacy, 87% of respondents affirmed their sustainability objectives remain unchanged, while 84% expect progress on ESG issues to continue or accelerate through 2030. However, 41% of respondents are becoming more cautious in how they communicate their ESG strategies and outcomes.
The survey shows a shift away from generalist ESG investing, with 85% of respondents integrating sustainability into their investment decisions and 59% employing thematic strategies. Top sustainability goals over the next two years include increasing allocations to energy transition assets (49%), advancing ESG goals through active ownership (47%), and investing in low-carbon assets while divesting from carbon-intensive ones (46%).
Notably, a more sophisticated segment of investors—labelled “pacesetters”—are leading the charge in portfolio decarbonisation (95%), social impact (94%), just transition (68%), and biodiversity (86%).
Private capital managers are also emerging as key ESG players. Over half (51%) plan to use active ownership to meet ESG goals, with 76% prioritising social issues and 63% focusing on just transition efforts. Many view ESG investing as a tool for value creation, alignment with stakeholders, and access to decarbonisation-related opportunities.
The study also highlights the role of strategic banking and data partnerships in ESG implementation. Investors cite brand reputation on sustainability (51%), product and expertise availability (40%), and shared ESG commitments (33%) as top criteria when selecting external banking partners. Nearly half (48%) plan to increase budget allocations towards ESG data acquisition and analysis to enhance sustainable investment strategies.
