The fever for sustainability does not only affect listed companies, which receive more pressure from interest groups to implement more environmentally friendly policies in their production and sales processes, in the heat of the green wave that is invading the world, especially in Europe, thanks to the agenda against climate change, decarbonisation and digitization.
Private markets, as the group of private equity, private debt, infrastructure or real estate funds is known, have also been targeted by investors, for the same reasons. And their growth potential is so important, at a time when they have become an important part of portfolios as a way to obtain remuneration in an environment of low interest rates, that the consulting firm PWC predicts that by 2025 the assets with a green stamp they could represent up to 42% of the total volume invested in private markets, which means that they reach a net worth of 1.2 trillion euros.
This is the most optimistic scenario, but even in the pessimistic one, the ESG assets of the private markets will monopolize 27.2%, with 775,700 million euros. An already considerable growth, considering that last year they closed with a net worth of almost 253 million euros, a figure that already represents 14.8% of the total assets invested in private markets in Europe.
Apart from greater ecological awareness among investors, much of this trend is supported by the huge aid that the European Union is going to disburse, which is pushing companies and their funders to apply green policies. In this way, of the 775,700 million that could be reached in 2025, 62% will come from new funds created ad hoc, to capture the interest of investors.
This growth in private funds with a green seal will mean that Europe will represent within four years from 31% to almost 36% of the total global assets that are managed under ESG criteria.