Investment Banking

Bankers wait for ‘lightbulb moment’ on ESG despite deal slump

Bankers rushed to form ESG teams. Now their future is in flux

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Distractions are everywhere, but experts say a new EU directive will be a game changer for sustainable finance Photo: Getty Images

In 2021 the world’s biggest investment banks unveiled new ESG advisory teams to capitalise on a megatrend — a shift to net zero that would need $7tn a year in financing.

Senior dealmakers jumped to reinvent themselves to cash in on the surge in deals from the climate crisis, a move that one ESG banker described as like a “dinosaur singularly focused on money”.

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