Canada Sustainable Funds Landscape - 2025 in Review
Canadian sustainable funds posted their first annual outflows since 2019
Sustainable investing has grown in popularity over recent years. As awareness of environmental, social, and governance (ESG) factors increases, more investors want to align their sustainable values with their investments, which has given rise to the sustainable funds market.
The sustainable funds industry in Canada is on the rise, but the journey has its challenges. Investor demand recovered from 2024’s outflows but remained well below prior highs. Canadian sustainable funds attracted CAD 1.1 billion in net inflows in 2025, 91% below the 2021 record.
Read more about the market's performance, trends, and shifts in the full report.