Two areas will drive change in LPs’ private equity portfolios in the coming years: sustainability and healthcare, according to Coller Capital’s Global Private Equity Barometer. Three quarters of LPs will invest differently in response to issues connected with sustainability & climate change, and a similar proportion will focus on new opportunities in healthcare & biotech, the report revealed.

“The fact that key ESG issues – climate, sustainability and health – are at the top of investor agendas should surprise no one,” said Jeremy Coller, chief investment officer of Coller Capital, “but the fact that half of all private equity investors think ESG investing will in itself boost their portfolio returns should be a wake-up call to anyone who still thinks ESG is a ‘nice to have’ or a PR tool,” he commented.