1. A European SRI Market Review London, November, 2012

2. Created with the support of:

3. Introduction Sustainable and Responsible Investment Strategies Sustainability themed Best-in-Class and Positive screening Norms-based screening Exclusions ESG Integration Engagement and voting Impact investing (NEW!)

4. Overview of SRI Strategies Used in Europe Source: Eurosif, 2012. Excludes Impact Investing

5. Growth Compared to Overall Market Source: Eurosif 2012, EFAMA 2012

6. Sustainability themed On the rise again: ~+90% since 2009 Now found in almost all countries surveyed Key driver: institutional Dutch mandates Source: Eurosif, 2012

7. Best-in-Class and Other Positive Screens Third fastest growing strategy: +113% since 2009 Steady rise in several markets Key growth drivers: Sweden and France Source: Eurosif, 2012

8. Norms-based Screening First measured in 2010 as a distinct strategy Fastest growing strategy since 2009: +137% Key drivers: few large players in France, Italy Source: Eurosif, 2012

9. Exclusions Second fastest growing strategy since 2009: +118% Covers ~28% of European total AuM Key drivers: German, Swiss and Dutch markets Source: Eurosif, 2012

10. Integration Growth since 2009: 14% Top markets: France, UK, Netherlands Key drivers for growth: Netherlands, UK Source: Eurosif, 2012

11. Engagement / voting Growth since 2009: +17% Key drivers: Netherlands Top countries: UK, Netherlands, Denmark Spreading to other markets (Italy, Spain) Source: Eurosif, 2012

12. Focus on the UK– Market Breakdown by Strategy Dominance of Active Ownership and Integration strategies UK is a top #3 EU market for sustainability-themed now ! Source: Eurosif, 2012

13. Focus on the UK– Evolution by Strategy Source: Eurosif, 2012 Continuous growth of Integration (see PRI signatories) Strong growth of norms-based: +86% (space to watch) Growth in Exclusion number not to be seen as market trend

14. Drivers of SRI Demand Legislative drivers Source: Eurosif, 2012

15. Created with the support of: Which role for UK Corporate Pension Plans? (Extracts)

16. SRI Policy Adoption by (large) UK Corporate Pension Plans Source: Eurosif, Corporate Pension Funds and Sustainable Investment, 2011

17. The CSR Policy of UK Plan Sponsors Is The Second Most Important Input to the SRI Policy Source: Eurosif, Corporate Pension Funds and Sustainable Investment, 2011

18. Key Take-Aways All strategies have grown since 2009 (faster than market) In the UK: Domination of Engagement /. Voting & ESG Integration Sustainability-themed less important but top EU market Watch this space: Norms-based + Impact Investing Institutional investors remain key drivers The CSR policy of the company can / should play an important role in SRI adoption

19. www.twitter.com/eurosif LinkedIn/eurosif http://www.linkedin.com/groups/Eurosif-3290984/abou t Questions?