Most investors globally are shifting focus outside of the U.S. to find climate-related investment opportunities following the election of Donald Trump, and expect the new administration’s policies to negatively impact global net zero progress and their own portfolio decarbonization goals, although many see this impact as only temporary, according to a new survey released by international asset manager Robeco.
For the study, “Global Climate Investing Survey 2025,” Robeco surveyed 300 institutional and wholesale investors in Europe, North America, the Asia-Pacific region and South Africa, at organizations ranging from insurance companies, pension funds and private banks, to endowments and foundations, sovereign wealth funds, and family offices, collectively representing more than $31 trillion in assets under management.
The survey found that policy changes since the election of the Trump administration have impacted investors’ climate focus and portfolio decarbonization progress, with only 46% of respondents now reporting that climate change is central or significant to their organization’s investment policies, down from 62% in last year’s survey. While most investors in Europe (62%) and Asia Pacific (59%) continue to include climate change as a key priority, the decline has been particularly sharp in North America, falling to 23% from 35% last year, and 61% in 2023.
Trump’s policies are having a clear impact on investor’s climate-related investment decisions, with nearly 60% of respondents reporting that they will see how the new U.S. policy agenda develops before making any investment decisions involving any assets likely to be affected by proposed changes to U.S. policies and regulations.
Notably, however, the survey found that most investors see the impact of the new U.S. administration’s policies as temporary. According to the study, 56% of investors said that while U.S. policy will setback global progress towards net zero, but expect momentum will recover when President Trump leaves office. Similarly, 53% of respondents said that new U.S. government policy is likely to slow down their progress on decarbonizing investment portfolios, but that the impact will only be short-term, and less than a third said that it will have an adverse impact on reaching net zero in investment portfolios. Additionally, nearly two-thirds of investors expect climate change to become central or significant in their investment policies in the next two years, potentially reversing the decline in 2024.
The new administration’s policies are also driving investors to look for climate-related opportunities in other markets, with 58% of European investors and 62% of Asia Pacific investors – and even 38% of North America investors – reporting that they will be more likely to look outside of the U.S. for investments in areas such as climate solutions, transitioning companies and renewable energy.
According to Robeco, investor’s focus on climate change in their investment policies is likely related to government policy support for the net zero transition in their own regions, with the survey finding that over the next five years, 52% of European investors and 62% of Asia Pacific investors expect their own governments to maintain or increase policies supporting net zero, compared with only 4% of North American investors.
The survey also found that despite the geopolitical and macroeconomic headwinds, investors are maintaining allocation plans for climate solutions investments, and 39% said that they actually plan to invest more in climate solutions. Specific climate mitigation solution areas targeted for increased or new investments over the next 2 years included electricity grid modernization, cited by 39% or respondents, followed by renewable energy and clean power by 34% and new battery technologies, sustainable real estate and green buildings and carbon capture and storage technologies, each at 31%.
Additionally, while around half of investors said that climate adaptation and resilience will become an increasingly attractive growth theme for equity investments over the next three to five years, respondents noted a series of barriers that have kept allocations in this area low to date, including 58% citing uncertainty about the ability to achieve competitive risk-adjusted returns, 47% lacking suitable investment products, and 42% reporting that it is hard to identify credible climate adaptation companies.
Lucian Peppelenbos, Climate and Biodiversity Strategist at Robeco, said:
“This year’s survey highlights a sobering reality: while many investors remain committed to climate goals, the overall prioritization of climate change in investment strategies is showing signs of decline, particularly at the global level.
“This underscores the importance of staying focused and adaptable. We recognize that our clients are navigating a complex and evolving landscape, with varying levels of policy support and market confidence. Our role is to support them – wherever they are on their sustainability journey – by aligning our investment strategies with their specific goals, whether focused on return, risk, sustainability, or a combination of all three.”
Click here to access the survey.
