Investors pour €102bn into sustainable UCITS bond funds last year - EFAMA

€33bn above traditional UCITS bond funds

clock • 2 min read

Demand for UCITS bond funds that apply ESG tilts has been steadily rising, according to the European Fund and Asset Management Association (EFAMA), as investors poured €102bn (£85.8bn) into the investment vehicle last year.

The latest issue of EFAMA Market Insights series, ‘Sustainable UCITS Bond Funds for a Better Future', revealed sustainable UCITS bond funds attracted €33bn more than traditional UCITS bond funds last year, which took in net new money of €69bn. Net assets climbed to €621bn, representing 20% of total UCITS bond fund assets, while risk-adjusted returns continue to be higher than traditional funds. Fees on the investment vehicle were lower, according to EFAMA, with the average cost of a sustainable UCITS bond fund reaching 59 basis points in 2021, compared to 76 bps for traditional UCITS ...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Investment

London Stock Exchange granted FCA approval to become inaugural PISCES operator

London Stock Exchange granted FCA approval to become inaugural PISCES operator

To launch later this year

Cristian Angeloni
clock 27 August 2025 • 1 min read
Watch Professional Adviser's Working Lunch with Baillie Gifford - Enduring Growth in a Changing World

Watch Professional Adviser's Working Lunch with Baillie Gifford - Enduring Growth in a Changing World

Catch up on the discussion

Professional Adviser
clock 21 August 2025 • 1 min read
PA Awards 2025: Why MyFolio Index came out top as Best Risk Targeted Range of Funds

PA Awards 2025: Why MyFolio Index came out top as Best Risk Targeted Range of Funds

Aberdeen Investments Senior Investment Director and Head of Managed & Model Solutions Justin Jones shares what sets MyFolio Index apart following its Best Risk Targeted Range of Funds award win at the Professional Adviser Awards 2025.

Professional Adviser
clock 19 August 2025 • 3 min read