UK ESG funds face massive capital outflows Investors pulled almost £4.4bn from UK ESG funds between the start of the year and October. In October alone, the flow amounted to 754 million pounds. Clastone analysts estimate that about two-thirds of the capital invested in these funds during the investment boom of 2019-2023 has already been withdrawn. Among the reasons:
- Investors' doubts about the reliability of ESG labeling;.
- Concerns about greenwashing;.
- There is insufficient evidence of financial returns from sustainable investment strategies.