Tech Funds Dominate SFDR 8 and 9
Equity Flows Over Both Quarter and YTD
- Net assets: Article 8 total net assets reached a new high of €9.54trn in Q3 2026, while Article 9 assets declined 2.6% to €344.62bn.
- Asset class flows: Bonds led sustainable inflows (+€22.69bn), while money market funds saw substantial withdrawals (-€26.22bn) over the quarter.
- Money Market USD led sustainable inflows in Q3 (+€7.36bn), followed closely by Equity Sector–Information Technology (+€7.22bn).
- Money Market EUR saw the largest sustainable redemptions (-€28.32bn), despite conventional inflows. Equity Global (-€2.96bn) and Bond USD (-€2.46bn) also had significant outflows.
Sustainable Asset Class Growth
Chart 1: Article 8 Fund Asset Class TNA, Q4 2024 to Q3 2026 (€trn)
Source: LSEG Lipper
Article 8 total net assets (TNA) were broadly flat in Q3 2026, edging up €7.04bn from Q2 to €9.54trn, a new high across the period shown. This compares with €8.46trn in Q3 2025, an increase of 12.8% year on year.
Equity remained the largest asset class, rising €87.03bn over the quarter to €3.92trn, or 41.08% of TNA. Bonds followed at €2.17trn (22.77%), despite declining €18.32bn, while money market funds fell €13.12bn to €1.80trn (18.85%). Mixed assets increased €9.61bn to €1.35trn, representing 14.11% of assets. Together, these three largest classes accounted for 82.70% of Article 8 assets under management at quarter-end.
Alternatives registered the sharpest decline among major categories, falling 24.7% to €183.97bn, reversing much of Q2’s increase, when it grew faster than all other asset classes. Real estate was virtually unchanged at €109.06bn. Commodity and “other” funds grew 11.9% and 32.1%, respectively, although both remain negligible in overall asset terms.
Chart 2: Article 9 Fund Asset Class TNA, Q4 2024 to Q3 2026 (€bn)
Source: LSEG Lipper
Article 9 total net assets (TNA) declined to €344.62bn (€0.345trn) in Q3 2026, down €9.28bn, or 2.6%, from Q2’s €353.90bn peak. Assets remained 5.1% above Q3 2025’s €328.04bn.
Equity continued to dominate, with €237.28bn, representing 68.85% of Article 9 assets, despite a decline of €3.50bn. Bonds followed at €80.68bn (23.41%), down €1.99bn. Together, these classes accounted for 92.26% of TNA.
Mixed assets registered the steepest percentage fall among the larger classes, declining 17.0% to €16.41bn, while alternatives shed 6.4% to €6.10bn. Money market funds edged down to €1.11bn, and “other” funds to €479m.
Real estate was the only asset class to record an increase, rising marginally to €2.56bn. The quarter’s contraction was concentrated in equity, mixed assets, and bonds.
While Article 8 assets grew marginally, Article 9 assets saw a significant contraction, particularly in mixed assets.
Sustainable Asset Flows
Chart 3: Article 8 quarterly flows, Q4 2024 to Q3 2026 (€bn)
Source: LSEG Lipper
Article 8 funds attracted €20.06bn in Q3 2026, sharply below the €78.15bn recorded in Q2, primarily reflecting a reversal in money market fund (MMF) demand. MMFs suffered €26.20bn of redemptions, compared with €26.84bn of inflows the previous quarter.
Bonds remained the largest positive contributor (+€23.14bn), a consistent trend, although down from €40.80bn in Q2. Equities rebounded strongly, gathering €11.22bn, their largest flows since Q4 2024, while mixed assets added €10.19bn, up from €7.16bn. Alternatives attracted €2.74bn, followed by commodities (+€350m) and “other” funds (+€218m).
Real estate continued its unbroken sequence of quarterly outflows, shedding €1.62bn. Despite the slowdown, Article 8 funds attracted €175.79bn over the first nine months of 2026, with bonds accounting for €88.18bn of that total. MMFs nevertheless remained positive year to date, despite the sharp third-quarter reversal.
Chart 4: Article 9 quarterly flows, Q4 2024 to Q3 2026 (€bn)
Source: LSEG Lipper
Article 9 funds suffered net redemptions of €1.87bn in Q3 2026, reversing the previous quarter’s improvement. Equities remained the principal drag, shedding €1.59bn, although redemptions eased from €2.18bn and were the smallest in the period shown.
Bonds posted the most noticeable quarter-on-quarter change, from €1.36bn of inflows to €451m of outflows, while alternatives lost €46m, reversing Q2’s inflows. Money market funds shed €23m, down from €127m in Q2, and “other” funds lost €11m. Real estate recorded no net flows.
Mixed assets were the sole positive contributor, attracting €254m, following €220m in Q2. This marks the second consecutive quarter of positive mixed asset fund flows.
We noted in the Q2 report that bonds were the most popular sustainable asset class. While that remains the case, it’s noticeable that Article 9 bond funds saw their first redemptions since Q2 2025. Sustainable mixed appetite, meanwhile, seems to be (at least for now) reasonably resilient.
Sustainable versus Conventional Flows by Asset Class
Chart 5: Asset Class Flows, Articles 8 and 9 v Conventional, Q3 2026 (€bn)
Source: LSEG Lipper
Articles 8 and 9 attracted a combined €18.19bn in Q3 2026, compared with €154.87bn for conventional funds (or 10.5% of the total). Bonds led sustainable inflows (+€22.69bn, or 47.6% of total bond sales), despite Article 9 redemptions. Mixed assets followed with €10.45bn, or 34.6% of asset-class inflows.
Sustainable equities gathered €9.63bn, as Article 8 inflows more than offset Article 9 withdrawals, as conventional equity funds attracted €81.38bn. Alternatives added €2.70bn, while commodities received €350m.
The sharpest divergence was in money market funds: Articles 8 and 9 shed €26.22bn, against €14.67bn of conventional inflows. Sustainable real estate funds also lost €1.62bn, despite €4.41bn flowing into conventional equivalents. “Other” sustainable funds gathered €208m even as their conventional peers lost €128m over the quarter.
Chart 6: Asset Class Flows, Articles 8 and 9 v Conventional, YTD 2026 (€bn)
Source: LSEG Lipper
Article 8 and 9 funds attracted €177.54bn, compared with €485.10bn for conventional funds (or 26.8%). Article 8 contributed €183.36bn, offsetting Article 9 redemptions (-€5.82bn).
Bonds again led sustainable demand, gathering €94.02bn—54.2% of total bond inflows—and exceeding conventional sales of €79.57bn. Money market funds followed (+€32.15bn), while mixed assets added €32.07bn, against €47.63bn and €68.85bn respectively for conventional peers.
Sustainable equity funds took €8.14bn, dwarfed by €264.21bn for conventional equivalents, as €6.47bn of Article 9 redemptions offset Article 8 inflows. Commodities added €1.72bn and “other” funds €701m. Alternatives gathered €12.92bn, almost matching conventional inflows of €13.48bn.
Real estate remained the sole sustainable asset class in net outflows (-€4.19bn).
There remains a stark contrast between the general appetite for equity funds, and that for sustainable equity products, although we have seen Article 8 equities return to positive territory and Article 9 close the gap.
Sustainable Flows by Classification
Fund Flows by Lipper Global Classification, Q3 2026
Chart 7: Ten Best and Worst Lipper Global Classifications by Estimated Net Sales, Q3 2026 (€bn)
Source: LSEG Lipper
The top-two money-taking classification remain the same quarter on quarter.
Money Market USD led sustainable classifications in Q3 2026, with €7.36bn of Article 8 and 9 inflows, against €4.06bn for conventional funds. This contrasted sharply with Money Market EUR, the largest source of sustainable redemptions
(-€28.32bn), despite €7.50bn of conventional inflows. Money Market GBP also shed €6.38bn of sustainable assets, while conventional peers attracted €4.75bn. Both USD inflows and EUR redemptions were overwhelmingly driven by Article 8 funds, with Article 9 contributing just €4m and negative€27m, respectively.
Equity classifications presented a similarly divided picture. Equity Sector–Information Technology once again ranked second for sustainable inflows (+€7.22bn/+€2.01bn conventional). Its sustainable inflows came almost entirely from Article 8 funds. Equity Global Income gathered €4.22bn, while Equity US attracted €3.25bn, although its conventional counterparts took €25.12bn. In Q2, while the classification’s conventional flows were strongly positive, sustainable Equity US suffered the worst redemptions.
Conversely, Equity Global suffered €2.96bn of sustainable outflows despite €39.82bn of conventional inflows (and a positive Q2). Notably, €792m of Article 9 inflows partly offset €3.75bn of Article 8 redemptions. Equity Asia Pacific ex Japan (-€2.06bn) and Equity China (-€1.60bn) also suffered redemptions.
Bond Other was the most popular fixed income category (+€5.25bn/-€46m conventional, with Article 8 accounting for almost the entire gain). Bond Global Short Term (+€2.91bn) and Bond Emerging Markets Global LC (+€2.87bn) also performed well. At the other end, Bond USD (-€2.46bn), Bond USD Corporates (-€2.06bn) and Bond Global EUR (-€1.26bn) recorded outflows. Conventional demand remained positive for the latter two, underlining the divergence.
Mixed assets were prominent among the positive classifications: Mixed Asset EUR Aggressive–Global (+€3.36bn), EUR Balanced–Global (+€3.29bn), and USD Balanced–Global (+€2.82bn) all exceeded conventional inflows. The exception was Target Maturity MA EUR 2030, which shed €2.24bn sustainably. Real Estate European also remained under pressure, recording €1.25bn of sustainable redemptions alongside €368m from conventional funds.
Fund Flows by Lipper Global Classification, Year to Date
Chart 8: Ten Best and Worst Lipper Global Classifications by Estimated Net Sales, YTD (€bn)
Source: LSEG Lipper
Strong Q3 Money Market EUR redemptions knock it from the most popular sustainable classification YTD.
Money Market USD was the strongest sustainable classification over the first nine months of 2026, attracting €27.92bn across Articles 8 and 9, ahead of €24.12bn for conventional funds. The USD result was almost entirely Article 8, while Article 9 recorded marginal redemptions; Money Market EUR showed a similar split, with €9.39bn of Article 8 inflows offsetting €65m of Article 9 withdrawals, as conventional peers took €22.28bn. By contrast, Money Market GBP suffered €10.10bn of sustainable redemptions—the largest outflow YTD—despite €6.84bn of conventional inflows.
Equity classifications displayed pronounced differences. Equity Sector–Information Technology attracted €11.86bn sustainably, compared with €3.46bn of conventional assets, while Equity Emerging Markets Global gathered €10.82bn, including €1.48bn from Article 9. Equity Global Income added €10.36bn.
Conversely, Equity US lost €9.82bn despite €57.50bn of conventional inflows. It’s therefore interesting to see Equity US sustainable flows return to the top 10 for Q3, despite this historic drag. Meanwhile, Equity Global shed €4.34bn, largely through Article 9 redemptions (-€3.31bn), against €115.53bn of conventional inflows. Asian markets also suffered, as Equity China (-€4.89bn), Asia Pacific ex Japan (-€5.12bn), and India (-€3.44bn) saw sustainable redemptions, alongside losses among conventional peers.
Bond funds were similarly divided. Bond Emerging Markets Global LC gathered €10.39bn sustainably, more than double conventional inflows of €5.01bn, with Article 9 contributing €1.32bn. Bond Global USD added €10.04bn, although conventional funds attracted €13.08bn, while Bond Other gathered €7.88bn versus €1.48bn for their conventional peers. However, Bond USD lost €6.32bn of sustainable assets against €381m of conventional redemptions, and Bond USD Corporates shed €3.90bn despite €1.99bn of conventional inflows.
Mixed Asset EUR Aggressive–Global attracted €11.02bn and EUR Balanced–Global €8.21bn, comfortably exceeding their conventional equivalents.
Sustainable Flows: Institutional vs Retail
Chart 9: Sustainable Asset Class Flows, Institutional v Retail, YTD 2026 (€bn)
Source: LSEG Lipper
Retail demand underpinned sustainable fund growth, while institutional equity redemptions substantially reduced the sector’s aggregate inflows.
Sustainable funds attracted €177.54bn over the first nine months of 2026, with retail investors accounting for €137.35bn, or 77.4%, compared with €40.19bn from institutions. The clearest divergence was in equities: retail investors added €53.35bn, while institutions withdrew €45.20bn, leaving net sustainable equity inflows of just €8.14bn. This contrasts with the broadly positive contributions from both investor groups across most other asset classes.
Bonds attracted the largest overall inflows (+€94.02bn), with institutions contributing €60.55bn, almost twice the €33.47bn invested by retail clients. Alternatives also showed an institutional bias, taking €8.57bn from institutions against €4.36bn from retail investors. These figures suggest institutions favoured bonds and alternatives even as they reduced sustainable equity exposure, creating a contrast with retail allocation patterns.
The pattern reversed in money market funds, where retail investors accounted for €25.32bn of the €32.15bn total. Retail demand likewise dominated mixed assets, contributing €22.78bn against €9.29bn institutionally.
Commodities and “other” funds recorded smaller but positive inflows from both groups, totalling €1.72bn and €701m, respectively. Real estate remained the exception, suffering €4.19bn of redemptions, overwhelmingly from retail investors (-€3.81bn), with institutions withdrawing a further €382m.
Flows by Asset Manager
Chart 10: Largest Positive Sustainable Flows by Promoter, YTD 2026 (€bn)
Source: LSEG Lipper
BNP Paribas led sustainable fund promoters over the first nine months of 2026, attracting €20.26bn, driven by €10.90bn in bonds and €7.62bn in money market funds (MMFs). HSBC followed with €14.81bn, primarily from MMFs (€10.57bn) and bonds (€4.08bn).
JPMorgan ranked third (€6.83bn), taking the largest MMF inflows (€12.96bn), although €8.75bn of equity redemptions substantially reduced its total. Morgan Stanley displayed a similar pattern, with €6.91bn into MMFs offset by €5.34bn of equity withdrawals, leaving €4.89bn net.
State Street Investment gathered €4.57bn, overwhelmingly through MMFs. Nordea (€4.37bn) had a more diversified inflow profile, led by equity (€2.06bn), while DNCA Investments (€4.24bn) was predominantly bond-driven (€3.95bn).
Jupiter led alternatives (€2.50bn), while Fideuram attracted €1.94bn into equities. Pictet’s €3.87bn MMF inflows were partly offset by €2.26bn of equity redemptions.
