SFDR Article 6 and 8 funds see substantial outflows in Q3

While the upgrade of SFDR funds is still in full swing, light green funds did not escape this year’s market violence. Article 6 and Article 8 funds saw a hefty outflow of assets. The greenest funds did manage to attract new assets.

Article 8 funds saw net outflows of 28.7 billion euros in the third quarter of 2022. This was reported by Morningstar in a press release this week. Article 6 funds clearly lost out with an outflow of 62.1 billion euros, according to the financial services provider’s data.

Morningstar: 'Green' funds to outpace 'grey' by mid-2022

European mutual funds that promote green investments saw assets increase by some 22 percent in the fourth quarter, to more than 4,000 billion euro, and will overtake traditional ‘grey’ assets in terms of asset volume no later than the summer of 2022, Morningstar said in a research report on the effects of the SFDR sustainability regulation introduced last year.