Despite regulatory advancements aimed at strengthening ESG frameworks, sustainable investment across Asia Pacific (Apac) endured heavy outflows in the second quarter (Q2) of 2026, according to a report by Morningstar.
Anchored by its $5.2bn Future Fund, the Gulf state is financing a domestic energy transition and using Hong Kong as a gateway to access key technology and partnerships.
Asia's sustainable fund markets saw 41 new products launched in the second quarter with Thailand's incentive scheme driving the surge, and Japan reversing its 11-quarter outflow streak.