How sustainable funds have beaten the index this year

The market in recent years has largely abandoned sustainability focused funds, not wanting to lose out on opportunities for growth. But in the opening half of this year, a group of sustainable funds have outperformed their non-ESG indices in a way that hasn't been seen since the first half of 2023. The success of these funds in 2026 has come as a bit of a dark horse, especially given the behaviour of energy throughout the US-Iran war which drove up share prices of oil companies. But while other areas of the market had to swallow the loss as these share prices fell back towards their n...