Morgan Stanley Sustainable Signals: Annual Global Survey of Corporates Finds Sustainability Remains Value Creation Opportunity
- 88% of companies globally see sustainability as a way to create long-term value
- High investment needs, political and macroeconomic uncertainties considered top challenges, but more than 80% of companies say they can measure ROI
- Over half of businesses reported adverse business impacts from climate events in the past year, and 80% are preparing to increase resilience in the future
When asked how sustainability affects long-term corporate strategy, 88% of survey respondents said it is primarily (53%) or partly (35%) a value creation opportunity, up three points from the prior year. This stands in contrast to the 12% of corporates that see sustainability primarily through a risk management lens, down from 15% in 2024. Most companies (83%) also say that they can quantify returns on their sustainability-related investments, including both new projects and risk reduction activities, just as they do for other initiatives.
“The data suggest that sustainability remains central to long-term value creation,” said
In the past year, over half of companies experienced an impact on operations from physical climate-related events, with those in APAC citing the highest incidence (73%). Of those companies affected, extreme heat (55%) and extreme weather or storms (53%) were the most common issues. These events most commonly led to increased costs (54% of those affected), worker disruption (40%) and revenue losses (39%). Looking ahead at the next five years, more than two-thirds of all respondents see further negative impact from climate risks; however, more than 80% of companies feel “very” or “somewhat prepared” to increase resilience.
Other key survey findings include:
- Progress – 65% of companies responded that they are “meeting” or “exceeding expectations” when asked to describe progress on their sustainability practices, up six points from 2024.
- Barriers – The high level of investment required and political and macroeconomic uncertainties ranked as the top barriers to delivering sustainability strategies.
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Enablers – Companies around the world (33%) view technological advances as a key enabler of a successful sustainability strategy, while a favorable economic and operating environment is the most important factor in
North America (32%).
As in 2024, this year’s report looks at corporate attitudes toward sustainability across geographies and industries. In addition to the regions previously surveyed, the 2025 survey polls companies in the
The Sustainable Signals series was launched in 2015 and measures the views of individual investors, institutional investors and corporates on sustainable investing. View the full results of the latest survey here.
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