Asia sees 70% rise in SRI funds

Enthusiasm for sustainable and responsible investment (SRI) funds in Asia has soared in the last two years with a 70% increase in the number of funds distributed in the region, according to the ASrIA SRI Funds portal.

This database, designed to provide users with information about SRI funds in Asia, shows that over 400 funds are now available in the region for both local and international investors.

According to the firm, of the 417 funds available in the twelve listed countries, almost a third are faith-based funds, Sharia-compliant for example, and are all based in Malaysia.

Aside from the faith-based funds, the front runner in Asian SRI funds is Japan with 71 funds, followed closely by Korea with 69 funds on offer.

In China, which was recently named one of the worst emerging markets for economic and social governance (ESG) compliance, only three SRI funds are available.

Vietnam provides an even smaller offering for investors with only two SRI funds.

Among the international firms with SRI products in Asia are global giant Blackrock with its New Energy fund, Allianz Global Investors with funds such as its Global Sustainability Fund, and Fortis Investments with the new Green Tigers fund which Citywire reported on back in April.