AI-Driven Green Finance Funds Gain Momentum as Sustainability Investing Evolves

A new wave of AI-integrated green finance vehicles is reshaping sustainable investing. Managers like Candriam are blending environmental, social, and governance data with machine-learning algorithms to optimize capital allocation across renewables, decarbonization, and social-impact sectors. The approach aims to improve risk modeling and long-term performance versus conventional ESG screens. Analysts expect AI-enabled fund strategies to attract stronger inflows as regulators standardize disclosure frameworks. Industry experts view the convergence of data science and sustainability as a structural shift in global asset-management innovation heading into 2026.