The funds, which reflect a range of environmental, social and governance (ESG) issues, are also set to lag the performance of non-ESG funds for the first time in five years, data shows, after the fossil fuel shares they typically shun soared.
"They (ESG funds) are subject to the same market movements," she added.
Reuters GraphicsHowever, non-ESG funds have also suffered withdrawals, losing $420 billion in the first 11 months of 2022, the data shows.
Reuters GraphicsUNDERPERFORMINGAfter several years of outperform - thanks partly to large holdings of U.S. technology stocks - ESG equity funds, which make up the bulk of assets in the sector, have fallen back to earth.
ESG equity funds have lost 18% to end-November, versus a 15.8% fall in non-ego equity funds, based on Refining Lipper data.