ESG & Investing

Why America Trails the World on Climate Fund Investing

The US has fallen far behind Europe, as well as China. But it may be waking up.

Photographer: Carla Gottgens/Bloomberg
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It turns out the market for environmental-related investment funds is really small in the US, relative to Europe and even China.

Roughly $32 billion was allocated to US climate funds as recently as the end of June, compared with about $447 billion in Europe and $44 billion in China, according to data compiled by Morningstar Inc.