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Bigger is better for ESG in private equity, study finds

LGT says its is encouraging that more than half of smaller private equity firms have developed systems for managing ESG issues

Size matters when it comes to responsible investment in private equity firms, a study by asset management firm LGT Capital has found.

The Swiss firm, which invests in private equity funds, assessed 218 of them and reported a rising proportion had won its highest rating for sound investment practices in environmental, social and corporate governance (ESG) matters – 65%, up from 58% in 2018.

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