Megan Butler Executive Director of the Financial Conduct Authority | Morgan Stanley
Morgan Stanley's latest "Sustainable Signals" report reveals that 88% of companies globally view sustainability as a long-term value creation opportunity. Conducted by the Morgan Stanley Institute for Sustainable Investing, the survey involved over 300 private and public companies across North America, Europe, and APAC between March and April this year.
Jessica Alsford, Chief Sustainability Officer at Morgan Stanley, noted, “The data suggest that sustainability remains central to long-term value creation.” According to the survey, 83% of companies are able to quantify returns on their sustainability-related investments.
In the past year, more than half of surveyed companies experienced operational impacts from climate-related events. In particular, firms in APAC reported a high incidence rate of 73%. Common issues included extreme heat and storms leading to increased costs and revenue losses.
Key findings include progress in meeting or exceeding sustainability expectations reported by 65% of respondents. High investment needs and political uncertainties were identified as significant barriers. Technological advances were seen as a key enabler for successful strategies.
The report also expanded its geographical scope this year to include MENA and LATAM regions. MENA showed a high percentage (86%) viewing sustainability as valuable while LATAM expressed significant concern over future climate risks yet still saw value opportunities.
Morgan Stanley has been producing the Sustainable Signals series since 2015 to gauge perspectives on sustainable investing among various stakeholders.
For further information about Morgan Stanley or its Institute for Sustainable Investing, visit their respective websites.