New research reveals that corporate air pollution remains a blind spot for investors, according to responsible investment NGO ShareAction.
Although air pollution is one of the most damaging health risks in investment portfolios, it is an issue widely overlooked by asset owners and asset managers, says ShareAction.
The research, A Breath of Fresh Air, highlights the important role of investors in accelerating progress towards cleaner air.
Failure to monitor and manage air pollution can leave investments open to greater risks and undermine transparency and confidence in responsible stewardship, warns the NGO.
Delayed action also carries higher risk for investors because air pollution regulation is tightening faster than investment frameworks are adapting, creating uncertainty and exposing investors to the risk of sudden compliance costs.
Meanwhile, litigation and operational disruption linked to air pollution are escalating, particularly in sectors reliant on urban road transport.
“Air pollution is the leading environmental cause of death, responsible for cutting millions of lives short each year,” said Justine Holmes, clean air lead at ShareActon. “Yet most companies and their investors have turned a blind eye, not doing nearly enough to improve air quality as communities around the world suffer the consequences.”
According to the World Bank, the global economic cost of air pollution is estimated at $6trn per year, driven by healthcare costs, lost productivity and reduced participation in the workforce.
ShareAction is therefore urging investors to treat air pollution as a core part of investment stewardship.
Key recommendations include integrating air pollution into investment analysis and decision-making, strengthening stewardship and engagement with high-emitting sectors, supporting innovation and adoption of cleaner technologies, and advancing transparency, disclosure and data quality.
Through the Clean Air Initiative, ShareAction has been working to embed air pollution into responsible investment.
In June 2025, a group of investors representing $865bn in assets under management issued a public statement urging high-emitting companies to act, calling air pollution a “silent yet deadly” public health and financial risk.
Comments