The German sustainable fund market in the first half of 2025
Funds with sustainability features open up to investments in defence companies
As a result of adjustments to the ESG target market concept, the sustainable fund market in Germany has changed significantly: Funds with sustainability features are now investing to a much greater extent in companies from the defence sector. Initially, investments in companies that derived more than 10 per cent of their revenues from the production or sale of military hardware were excluded; since December 2024, only investments in manufacturers of weapons banned under international law are prohibited.
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You can read more about the fund industry's role as a driver of the green transformation in our Brochure "Facts about Investment Funds".