The Climate Capital Stack and New Funds: 2024

Climate funds raised $164bn in new assets under management from January 2021 through 2024, but investors deployed it more slowly and with more discipline. This report, produced with HSBC Innovation Banking, tracks 334 climate funds and the dry powder they hold.

It also profiles each layer of the climate capital stack, from venture and growth to private equity and infrastructure, with key players, case studies, and the challenges and opportunities heading into 2025.

• New climate AUM rose 20% year over year, bringing the total raised since 2021 to $164bn.
• Investable dry powder reached $86bn in 2024, down from a $93bn peak in Q3.
• Infrastructure funds made up almost 60% of new climate AUM raised in 2024.
• 18% fewer funds invested in a climate deal in 2024 as sector tourists pulled back.
• Growth and PE funds stuck to mature business models, leaving a funding gap for FOAK projects.