Impact Measurement: Best Practices for Climate & ESG Funds in 2025 and 2026 Tags: ImpactMeasurement, ESGFunds, ClimateFinance, Data Introduction The global rise of sustainable finance has shifted the focus from financial returns alone to measurable social and environmental outcomes. For asset managers and fund allocators, demonstrating tangible impact has become a cornerstone of credibility. This
The performance of climate funds in 2025 has been shaped by several macro and sectoral factors: Equity Climate Funds Renewable energy equity funds delivered average annualized returns of 9.2%, boosted by solar and wind growth across Europe and Asia (IEA, 2025). However, volatility increased due to supply chain disruptions and declining margins in the EV