ESG
Best ESG Funds in 2026: UK, Europe and USA
A comprehensive guide to the top-performing ESG funds across the UK, Europe, and USA, featuring fund size, alpha performance, and 2026-2030 market forecasts.
Best ESG Funds in 2026: UK, Europe and USA
A comprehensive guide to the top-performing ESG funds across the UK, Europe, and USA, featuring fund size, alpha performance, and 2026-2030 market forecasts.
Published: January 16, 2026
By James Park
Category: ESG
Environmental, Social, and Governance (ESG) investing continues to reshape global capital markets as institutional and retail investors increasingly align portfolios with sustainability principles. With global ESG assets projected to exceed $40 trillion by 2030, according to Bloomberg Intelligence, selecting the right funds has never been more critical for long-term wealth creation.
This comprehensive analysis examines the best-performing ESG funds across the UK, Europe, and United States for 2026, providing detailed metrics on fund size, scope, alpha performance, and forward-looking forecasts through 2030.
1. ESG Market Overview: 2026-2030 Outlook
The ESG investing market is experiencing significant growth, with multiple research firms projecting assets under management to reach between $40 trillion and $125 trillion by 2030, depending on market conditions and regulatory developments.
| Metric | 2025 Value | 2030 Projection | CAGR |
|---|---|---|---|
| Global ESG AUM | $35 trillion | $40-80 trillion | 3.5-18.8% |
| European ESG Assets | $18 trillion | $25 trillion | 6.8% |
| US ESG Fund Flows | $8.2 trillion | $12 trillion | 7.9% |
| Asia-Pacific ESG AUM | $2.1 trillion | $3.3 trillion | 9.5% |
Andrew Kitchen, Head of Responsible Investment Proposition at Royal London, stated: "We believe that sustainable investing makes sense financially, while also benefiting wider society and the environment."
2. UK-Focused ESG Funds
The United Kingdom remains a global leader in sustainable investing, with the Financial Conduct Authority implementing the Sustainability Disclosure Requirements (SDR) framework to enhance transparency and protect investors from greenwashing.
2.1 Schroder Global Sustainable Value Equity Fund
The Schroders Global Sustainable Value Equity Fund combines value investing principles with rigorous ESG integration, managed by newly appointed Head of Value Equities Simon Adler.
Simon Adler, Head of Value Equities at Schroders, commented: "Our focus will remain the same; we are committed to delivering a pure Value-focused investment approach. The current opportunity for active managers is very attractive. Clients are in need of differentiated and robust investment performance and Schroders Value team is perfectly positioned to seize this moment."
2.2 Royal London Global Sustainable Equity Fund
Royal London Asset Management, winner of Best Asset Manager 2025 at the Morningstar UK Fund Awards, manages this flagship sustainable equity strategy led by Mike Appleby and George Crowdy.
...