Hong Kong stands to benefit as a family office hub and impact investment centre, according to industry observers, after a survey showed ESG investments account for a growing share of the portfolios of nine out of 10 family offices globally.
According to a study released on Wednesday by the Sustainable Finance Initiative (SFI), ESG investments – which seek to improve society, reduce pollution and address climate change risks – accounted for at least half of the portfolio for nearly 20 per cent of family offices globally.
The annual survey showed that nearly 60 per cent of family offices worldwide had at least 10 per cent of their investments in environmental, social and governance related projects.
Family offices want their investments to have a positive impact on society and the environment while simultaneously generating high returns, said Katy Yung, CEO of SFI, an impact investing network formed in Hong Kong in 2018.
“These results show real and genuine commitment to sustainable investment,” Yung said. “These figures demonstrate that family offices have not only maintained their focus, but have also refined their strategies to capture the twin benefits of social impact and robust returns.”
