To better understand the impact of ESG on the financial performance of non-listed real estate funds INREV and GRESB have commissioned a paper to link fund-level financial returns with GRESB ESG scores.
Key highlights include:
- The participation process of ESG benchmarking is non-random. Early participants in the GRESB Real Estate Assessment are large funds with low leverage, two factors that correlate with excess returns.
- Funds participating in the GRESB Assessment outperformed non-participating funds, even when controlling for factors like fund size, investment style and leverage levels.
- In particular, improvements in the GRESB Performance Score and GRESB Environmental Score are linked to higher total returns. Albeit these benefits vary depending on funds characteristics and timing of participation.
Want to learn more?
Download the report below or watch the briefing recording.
If you have any questions please reach out to Iryna Pylypchuk.