Assets under management of funds Morningstar considered to be genuinely sustainable at the end of September dropped from $3.4trn to $2.03trn.
Last week, reports revealed Morningstar had removed over 1,200 funds totalling assets of $1.4trn from its European sustainable universe list, after a review of disclosures provided to investors in annual reports and prospectuses was carried out.
The data provider targeted funds with sustainability-linked fund names and those with objectives listed in Key Investor Information Documents (KIIDs) relating to ESG. Five funds ejected from ii Super 60 following Morningstar makeover It follows a report published in November by Morningstar after the EU's rules on sustainable disclosure were enforced in March 2021, revealing that the European sustainable fund universe had grown 65% between June and September. However, according to Morningstar data provided to the Financial Times, assets under management of funds Morningstar consider...
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