ESG commitment stable amid shifting sentiment: LGT survey

LGT Capital Partners' 2026 ESG survey found that while sentiments on responsible investment has shifted commitments have remained largely stable.

Conducted among 191 asset managers, asset owners and advisers across different regions and asset classes, the survey looks at changes in ESG sentiment, commitments, terminology, resources, exclusions and investment priorities.

Overall, the survey found ESG backlash has affected language and positioning more visibly than the underlying investment processes.

"Rather than a broad retreat, the survey points to a more pragmatic phase of ESG integration, with greater emphasis on materiality, risk management, data quality, client expectations and long-term value creation," the report read.

Around two thirds of respondents said market sentiment around ESG in their primary region has become more negative over the past 24 months. The shift is most pronounced in the US and is also clearly visible in Europe.

However, 92% of respondents maintained or increased their ESG commitments over the past 24 months, while only 8% reduced them.

"Importantly, even among respondents who perceive market sentiment as more negative, the large majority maintained or increased their ESG commitments," the report said.

"The same pattern is visible in investment decision-making. For most respondents, the importance of ESG has remained stable over the past 24 months, with only a small minority saying it has become less important. Looking ahead, respondents overwhelmingly expect this stability to continue over the next 12 months."

While the US saw a change in ESG communications, only 18% of Asia-Pacific respondents reported changing their ESG terminology, the lowest share across the regions surveyed, while 27% increased their ESG commitments.

"The smaller Asia-Pacific sample means that these findings should be interpreted directionally. They nevertheless point to a less polarised pattern than in the US or Europe. The survey does not establish the reason for this development," the report read.

"One possible explanation is that in some parts of Asia Pacific, ESG frameworks are still being developed and embedded in investment practices, rather than being recalibrated in response to political pressures seen elsewhere."

The survey found across most categories, exclusions have been applied with the same rigour as before or have become stricter, with defence-related investments being the clear exception.

"In total, 23% of respondents say they are now less strict on defence-related investments, in contrast to only 3% who have become stricter on defence-related investments," the report read.

"This easing is largely attributable to European respondents, with 33% reporting that they are being less strict than before. For other topics, 9% of respondents are now stricter on oil and gas, 8% on fossil fuels and 11% on thermal coal."