News & Analysis

In brief: GPs increasingly rejecting deals based on ESG factors – survey

Of GPs, 62% say they have declined an investment in the past year due to ESG factors, compared to 55% the year before, according to Investec’s survey of private equity managers.

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Of general partners, 62 percent have declined investment opportunities due to ESG or ethical factors in the past year, according to a survey of 219 private equity professionals by Investec, a banking and asset management business. This represents an increase: in the 12 months up to last year’s survey, 55 percent of those surveyed said they had chosen not to invest in a company due to ESG or ethical factors, Investec said in a statement.

Across strategies, venture capital firms were the least likely to have declined an opportunity based on ESG grounds, while infrastructure and energy were the most likely.