ESG advertising in APAC region recovers following Q1 dip

Asset managers dedicated 11% of their advertising to ESG promotion during Q2, according to data by Fundamental Monitor

Key points:

• ESG promotion accounted for 11% of the total asset management advertising volume in APAC during Q2 2024, up significantly from the 1% seen in Q1.
• Unlike in Q1, when almost all ESG advertising was focused on fund promotion (98%), the majority of ESG advertising in Q2 focused on thought leadership promotion (85%).
• Although asset managers allocated a higher portion of their advertising to the promotion of ESG, investor audiences in APAC consumed less ESG content on asset managers’ websites during Q2 than the 365-day rolling average.

ESG promotion accounted for 11% of the total asset management advertising volume in APAC during Q2 2024, up significantly from the 1% seen in Q1, data by Fundamental Monitor reveals.

During the second quarter, 12 out of 95 advertisers included some ESG messaging, with Allianz GI, AXA IM and Robeco between them accounting for over 90% of the ESG volume. The 12 active ESG advertisers on average dedicated 48% of their overall advertising to the promotion of ESG, up from 13% a quarter earlier.

There were two asset managers who only promoted ESG during Q2: BNP Paribas Asset Management and Russell Investments. Six advertisers were live in Hong Kong, five in Australia, four in Singapore, two in Taiwan, one each in India and Japan, and none in Korea.

Unlike in Q1, when almost all ESG advertising was focused on fund promotion (98%) with only a little brand (2%) and no insights promotion, the majority of ESG advertising in Q2 focused on thought leadership promotion at 85%. Brand campaigns accounted for 12% and fund promotion for only 3%.

Although asset managers allocated a higher portion of their advertising to the promotion of ESG, data by Alphix Solutions, Fundamental Group’s marketing technology business, shows that investor audiences in APAC consumed less ESG content on asset managers’ websites during Q2 than the 365-day rolling average. It was down by between 20% and 36%, depending on the week.

However, while all countries saw a below average content consumption for ESG, there are significant differences between markets. Australia saw the smallest decrease at between -5% and -35%, while much larger decreases were seen in Hong Kong (between -50% and -68%) and Korea (-49% and -79%).

Below are some of examples of the type of ESG campaigns that were in market in the APAC region during Q2 2024:

Allianz Global Investors

AXA Investment Managers

Nuveen Asset Management