We study whether U.S. mutual funds’ sustainability objectives predict behavior and real-economy outcomes. Using machine learning on prospectuses, we classify sustainable strategies as financial, moral, or impact-oriented. Among 1,523 funds managing $1.7 trillion in 2023, 88% of assets are financially motivated, 10% morally motivated, and just 2% impact-oriented. Financial funds hold greener, lower-carbon portfolios; moral funds rely on exclusionary screens and exhibit lower flow–performance sensitivity; impact funds support outcome-oriented proposals and are the only fund type whose purchases are followed by reductions in portfolio firms’ carbon intensity. Most sustainable capital is not allocated to strategies seeking measurable real-economy change.