ESG Investor Survey: Methodology

How PERE conducted its comprehensive report on institutional investors’ attitudes toward ESG principles in private real estate investment.

PERE’s comprehensive survey covered institutional investors’ attitudes toward both the progress and importance of environmental, social and governance principles in private real estate investment. Broadly, the survey reveals investor perspectives of ESG in five key areas:

Policy: Whether an explicit ESG policy is considered a must-have or a nice-to-have in 2019, and whether managers are expected to provide evidence

Regional progress: The investment markets seen as having made the most, and least, progress in adopting ESG principles

Due diligence: How investors evaluate managers’ credentials and track record, and the metrics they use in their assessments

Performance: The perceived impact of ESG on investment returns and the degree to which a correlation is deemed easy to establish

Progress by property type: The perception of sector – office, residential, logistics, retail – acceptance of ESG principles

The global nature of this study, reflected in the questions set and the location of respondents, allows for meaningful views and cross-regional comparisons. Sentiment was captured on active investors in private real estate funds, however positive or negative their views on ESG. The results serve as a valuable benchmarking tool and offer a granular insight into ESG in the context of private real estate.

For this 2019 study, PERE’s Research & Analytics team surveyed 60 institutional investors of private real estate funds. Fieldwork was carried out from March to June 2019. Participation in the PERE ESG Investor Survey 2019 was anonymous, with the findings amalgamated and published in this report. The results may not add up to 100 percent due to rounding.