PUBLICATION: Rede Partners Private Markets Sustainability and Impact Report
We are delighted to publish the Rede Partners Private Markets Sustainability and Impact Report, looking at institutional investor sentiment towards Sustainability and Impact Investment in private equity. Despite a tightening in the general fundraising environment, our research highlights real momentum within Impact, with an increasing recognition of its potential to deliver significant financial returns alongside non-financial benefits.
Key Findings:
IMPACT HAS COME OF AGE
A major change in LP attitudes to Impact investment – driven by an increasing belief that the Sustainability megatrend has the potential to drive strong returns - has significantly expanded the size and maturity of the Impact market
LPS' (SECOND) MOST WANTED
Sustainability and Impact is now the second most frequently cited sector for LPs seeking to expand allocations
CLIMATE LEADS THE WAY
Increasing awareness of the decarbonisation market opportunity and
momentum is generating a strong gravitational pull towards climate-related themes across asset classesACTIVE STRATEGIES IN DEVELOPED MARKETS
LPs currently favour Buyouts and Growth Equity strategies in North America and Europe
CYNICISM REMAINS THE GREATEST THREAT
Greenwashing, de-prioritisation in the light of macro-economic turbulence and the ‘anti-ESG’ movement threaten the continued success of Impact
FUTURE ROADMAP
Improvements in methodological rigor, standardised reporting, transparency and alignment will be key to securing the long-term future of Impact