ESG
The “Fallen Angels” anomaly – a special sub-asset class in credit investing
Fallen angels – or high yield bond issues that were formerly investment grade – have seen an extraordinary run of outperformance, through multiple credit market and sector specific cycles over the past two decades. We look at why........
Additionality: the secret sauce or the snake oil of impact investing?
Many impact investors are keen to demonstrate or be assured that the world changed as a result of an investment made. Brunno Maradei, CFA, Global Head of Responsible Investment at Aegon AM, suggests there is a need to look beyond additionality in the pursuit of authentic impact investing
Is sustainable aviation fuel an oxymoron?
It is critical that we reduce and decarbonise aviation as soon as possible, but this is challenging as alternative technologies are not ready today. Does Sustainable aviation fuel offer a real-world way to continue flying more sustainably?
Biodiversity impacts asset managers
As you read this article, an animal or insect species, somewhere in the world, will disappear forever. Due to the impact of human activity on the natural world, in the past decades biodiversity has been declining 100 to 1,000 times faster than what would be considered natural. This development threatens not only nature, but also human survival.......
Reconsidering the banks sector
Royal London Asset Management´s Head of Sustainable Investments, Mike Fox, makes the case for why the firm is increasing exposure to banks amidst a changing macro environment, more attractive financial characteristics for equity investors and improved environmental performance as better disclosure on financed emissions and clearer policies on future lending are made.....
How innovative private credit enables high impact energy efficiency
We speak to Denmark’s AkademikerPension (AkP) and Zurich-based SUSI Partners to find out about the unique ways of structuring a private credit strategy in the energy efficiency space. AkP was an anchor investor in a recent fundraising......
Harnessing the power of engagement in stewardship investing
Yolanda Courtines, Equity Portfolio Manager at Wellington, argues that strong relationships with companies, formed through regular engagement, allows asset managers to help companies navigate the increasingly demanding list of risks that management teams and boards are facing.....
Impact measurement and management: addressing key challenges
As impact investing gains traction, investors, regulators and end clients are placing greater scrutiny on impact measurement and management. One manager is building a platform for an objective, transparent and evidence-based approach to impact assessment and measurement.....
Hidden corners of sustainability – related innovation
The European small-cap universe encompasses numerous sustainability-conscious companies doing innovative work that potentially enables them to outperform their competition.......
Decarbonizing the world: the three things asset managers must do
With a goal to generate decarbonization-related alpha, one manager seeks to find companies with the potential to be early adopters in the adjustment to a carbon-neutral reality. Thus generating the outperformance that can accrue to first movers.........
Climate change investing: research and collaboration continue
One manager gives their account of actual, measurable, progress being made on the ground when it comes to climate investing.....
Evolving impact investing for better potential outcomes
Showing tangible impact is a challenge for managers and asset owners alike. Wellington have developed a framework to show how they track the progress of portfolio companies and issuers, measuring impact progress and outcomes across strategies.......
Nordea’s ESG Priorities: the SFDR is too broad and the Taxonomy is too narrow
Head of ESG, Eric Pedersen, provides us insight to how the investment giant implements it´s ESG philosophy across a broad range of portfolios and how looking for easy answers to difficult questions is unhelpful........
How behavioural finance analysis can help unearth hidden sustainability potential
Alternative approaches to help identify promising investment candidates and to assess current sustainability leaders for under-appreciated risks.....
Mapping the impact of climate change
Wellington Management shares the climate-exposure risk-analysis tool they have developed to help investment teams track and assess physical climate risks facing capital-market assets around the world...
Jentzen & Partners’ evolving ESG approach
Founding Partner, Mads Jensen, talks to us about longer term strategic asset allocation, including manager selection and developing investment policies including governance frameworks and increasingly ESG.
Are investors ripe for agriculture? – virtual roundtable summary
NordicInvestor’s agriculture roundtable gathered portfolio managers and investment consultants from North America, Denmark, Sweden and the UK to explore the unique features of agricultural investing and how it is adapting to investors’ evolving ESG and sustainability priorities.
Fondfinans’s Tailored ESG Policies; ESG and Renewables for the Short, Medium and Long Term
Melanie Brooks talks to us about leaving NBIM for boutique manager Fondfinans in order to have more hands-on involvement in picking stocks. At NBIM her ESG team supported portfolio managers but now she has both ESG and portfolio management responsibilities......
Matching Best in Class SFDR Strategies with Investors’ Sustainability Preferences – Virtual Roundtable
Louise Kooy-Henckel of Wellington Management, Anders Bertramsen of Nordea Assset Management and Erik Edward of Swedbank joined us to discuss how SFDR regulations has impacted fund selection and how the nuances and complexities of ESG investing can not be oversimplified....
ESG through a value kaleidoscope; disclosure, transition and incremental innovation
We spoke to Skagen’s Head of ESG, Sondre Myge Haugland, to identify how the firm applies and prioritises ESG considerations in the context of its value investing philosophy for equities and fixed income....
Real Assets Focus: Agriculture
Agriculture can be grouped with other real assets such as forestry/timberland, real estate, infrastructure, precious metals, industrial metals, and equipment, but they all have distinguishing features. We take a look at developed market land farming for yield, growth and inflation hedging.....
Evaluating labelled bonds: a robust framework is key
The sustainable debt market is growing rapidly as issuers face increased pressure from investors and regulators to finance a more sustainable future. Here we look at how to assess the suitability of labelled issuance for portfolios and highlight how to use engagement to combat greenwashing.....
Söderberg and Partners – a distinctive perspective on evolving ESG policies
Lingyi Lu, Head of Sustainability at Söderberg and Partners, gives us an in-depth look into how the Swedish investment giant evaluates the sustainability of portfolios and funds and how investor preferences evolve....
Transition to carbon neutrality by 2035, and EU rules are only one framework
Veritas´ new head of ESG, Eveliina Leino, talks to us about the firms pragmatic approach to ESG and how the road ahead is far from straight forward if you want to impact real change.....
Active management and ownership; transition; thematics, and SDGs, driven by investment opportunities and client choices
DNB Asset Management´s Head of Responsible Investments, Janicke Scheele, gives us insight to how the Norwegian asset manager takes a broad and holistic approach to driving change......
In house analysis, sovereign debt, engagement, climate transition, biodiversity and circular economics
Markus Lindqvist heads Aktia´s team of ESG specialists who, together with the firms ESG committee and asset class representatives, set the EUR 15bn asset manager´s agenda......
Swedbank’s ESG approach: an art as well as a science
Erik Edward, Senior Fund Analyst, gives an in-depth look how the team at Swedbank are assessing asset managers’ ESG approaches and how a qualitative approach is key....
Impact investing in practice: supporting the shift to alternative energy
Investors are increasingly attracted to impact investing because of its potential to deliver positive social and environmental outcomes while producing competitive financial returns. Here we explore how alternative energy can deliver both goals...
OP Asset Management; extensive use of ESG benchmarks and in house data analysis
Annika Esono Manninen, Head of ESG, talks to us about how the Finnish investment giant is working toward carbon neutrality and how climate and environmental risks are firm priorities....
Elite Alfred Berg; data harmonization would be welcome
Chief Investment Officer, Toni Iivonen, talks to us about the firms key priorities and challenges, including getting consistent data from external asset managers......
Handelsbanken’s ESG Approach – “SFDR 8 or 9 alone is not enough for us; defining transition is subjective”
We spoke to Deputy Head of Multi-Manager Solutions, Tobias Tallberg, for an update on how the firm’s evolving ESG policies apply to its selection of external managers......
Why COP26 was (probably) more constructive than headlines suggest
From better targets to methane to financial commitments, a climate investor shares his views on the lasting positive outcomes likely to emerge from the recent global conference on climate change....
Evli Bank’s ESG approach; data gaps, subjective regulations, transition and engagement
Outi Helenius, Head of Sustainability, speaks to us about data gaps, the subjectivity of European sustainability regulations, and differences between the regulations and normal market practices....
LocalTapiola AM’s ESG approach; active in house ESG analysis and prioritizing transition
Outi Kalpio, Director of Portfolio Management and ESG, gives us insight to how the firm expects portfolio managers to integrate ESG into their daily work and the overlap between quality factors and ESG....
Countering climate risks through collaboration
How to close the disconnect between the climate world and the investment world and how the investment risks of climate change should be properly evaluated on a fundamental level.....
Tackling air pollution with sustainable investments
Targeting a major environmental issue and the investment opportunities it creates....
Why climate change is inflationary (and what to do about it)
We explore the link between climate change and inflation and suggest strategies to help mitigate the threat to portfolios......
Are all net-zero goals created equal?
Given the various inconsistencies in how the phrase is understood, what does “net zero” really mean – and how should progress towards this goal be measured?
Is land-based aquaculture the answer to fish-farming’s existential Crisis?
A real world example of how addressing a specific sustainability challenge directly, can present meaningful commercial opportunities.....
Impact investing: innovating for environmental sustainability
Wellington´s duo, Campe Goodman and Tara Stillwell, share some of the environmental and climate-related innovations they are seeing across the impact investing universe.....
Challenges and Opportunities in Evolving ESG Policies – Virtual Roundtable
Lars-Göran Orrevall of Skandia Liv, Niels Elmo Jensen of Laegernes Pension and Emanuele Fanelli of Aegon Asset Management joined us for a broad discussion on the principles and policies guiding their ESG strategies.....
The investment opportunity in climate-focused venture capital
Finding future-proofed companies with an explicit focus on climate mitigation or climate adaptation......
Net zero: how do we achieve it?
Wellington is a founding member of the Net Zero Asset Managers Initiative. This is their story on how to achieve net zero emissions of green house gasses by 2050 and what it means to them.....
Deriving opportunity from secular climate themes
Climate change presents risks to businesses that are unable to adapt and opportunities for those that can. Are both the risks and opportunities are underappreciated by the market?
Sustainable Development Goals (SDGs) – the investment opportunity
The last 12 month’s market turmoil has illustrated what can happen when the markets are suddenly faced with a risk for which they are unprepared. It is also a reminder that uncertainty is disruptive for businesses and investors alike, and that risk management is paramount in the pursuit of long-term goals.....
PKA’s ESG Policies Gather Momentum; Exclusions, Green Assets, Social Assets and Reporting
ESG Manager, Louise Aagaard, gives insight into how the ESG team integrates across investment departments, but also works closely with legal and risk.....
Aktia’s Extensive ESG Policies; Sovereign Debt, Impact Bonds, Transition, Reporting and Biodiversity
Markus Lindqvist, Head of ESG at Aktia Asset Management in Helsinki, Finland, highlights some of the distinctive features of its ESG policies. Aktia manages EUR 10.4 billion for institutional and retail clients, in the asset management division.....
ELO’s Asset Allocation and ESG Priorities; Active Management, Climate Change, Carbon Reporting and Engagement
Q&A with Jonna Ryhänen and Katja Einesalo from ELO, pension insurance company, which manages EUR 26 billion in pensions for one third of all Finnish companies and about 40% of self-employed people in Finland.........
KLP’s Environmental and ESG Policies; Many Rapidly Evolving Initiatives
Lars Erik Mangset is Chief Advisor, Climate Change for KLP, the largest occupational pension fund in Norway. In this interview he provides great insight into the work they are doing and how it is integrated into strategic asset allocation, risk and compliance.....
Cutting Fixed Income Exposure; Adding to Equities, Alternatives, ESG and Impact
Church of Finland Pension Fund´s, Joonas Huttunen, gives us an in-depth interview on how they are adapting allocations to new environments and the challenges they see ahead....
Iceland: a Frontier Market in the North Atlantic Navigating the Covid Crisis and Response
We interviewed from Arion bank Hjörleifur Arnar Waagfjörð, Head of Institutional Asset Management, and Haraldur Yngvi Pétursson, Senior Portfolio Manager, to hear how the economy and investment strategies have developed over 2020 and 2021.
Topdanmark’s Growing ESG Ambitions
We spoke to Portfolio Manager, Andreas Stang who is responsible for the ESG strategy, to learn about how policies are partly firm-wide while additional policies apply to certain ESG strategies.....
Using climate science to uncover investment opportunities
Many investors are overexposed to the risks stemming from climate change while being underexposed to the accompanying investment opportunities....a thematic approach may well be the best way to deal with specific sustainability issues....
European Small-Caps – Virtual Roundtable
In the latest episode of our webcast series, we discuss European small-caps and wether it´s spring time and green shoots for the asset class. NordicInvestor´s Contributing Editor, Hamlin Lovell, was joined by Oddo BHF´s Armel Coville, Wellington´s Anna Lundén and TIN Fonder´s Carl Armfeldt, in a discussion that covered many angles on the opportunity set available.....
Currency Hedging for Illiquid Asset Classes and Strategies
We take an in-depth look at how asset managers can, and perhaps should, offer hedging to investors in illiquid strategies. Safe to say, it requires a bespoke approach......
Proventus Capital Partners: Active ESG for Private and Public Credit
We talk to Marjo Koivisto, Investment Associate and Head of ESG, for an in-depth discussion about how the firm integrates ESG in their private credit strategies....
How should a “Green Bond” be defined?
Following our recent roundtable, we interviewed Douglas Farquhar of NN Investment Partners, who previously worked as a verifier of green bonds, to discuss different opinions around classifying green bonds.....
Alecta’s ESG Policies; Integrated into active investment management
Peter Lööw, Head of Responsible Investments, gives us an insight into the Swedish pension giants approach to ESG and how they are guided by the core belief that companies who take ESG in to account will be better investments...
Climate change and emerging markets: assessing opportunities and challenges
Wellington´s Dáire Dunne provides a framework for incorporating climate-related themes into an EM portfolio.....
Building a Diversified Green Bonds Portfolio
We discuss ways in which investors can, and cannot, diversify a green bond portfolio, with Douglas Farquhar.....
PenSam’s Growing ESG Exclusion List; More Companies and Countries Off Limits
Mikael Bek,Head of ESG, highlights some distinguishing features of PenSam’s exclusion and other ESG policies, which are part of its Responsible Investment and Active Ownership policy....
How Can ESG be Applied to Currency Investing?
Record Currency Management has already developed three ways of integrating ESG into currency investment processes, and is exploring different evolving perspectives on the topic......
Handelsbanken Asset Management: Raising ESG Standards
We interview Asset Allocation Product Analyst, Tobias Tallberg, to focus on how the firm’s evolving ESG policies apply to its selection of external managers....
PKA’s Expanding ESG Policies: Collaboration in Denmark, the Nordics, Europe and Globally
Dewi Dylander, Deputy Executive Director of ESG, and Head of Sustainable Investments, gives insight into the Danish pension funds philosophy on how a collaborative approach is key to ESG.....
Fit for the future: Unboxing ESG in real assets
Recent events have highlighted the importance of the environmental, social and governance characteristics of real asset investments – not only as part of COVID-19 recovery programmes, but also as a way of futureproofing portfolios....
Green Bonds Coming of Age – NordicInvestor Roundtable Summary
We were joined by Søren Larsen of Nykredit, Rune Riisbjerg Thomsen of PKA and Douglas Farquahar of NN Investment Partners for a candid discussion on the growing asset class of green bonds....
Pricing physical climate risk: A multidisciplinary approach
Recent events have highlighted the importance of the environmental, social and governance characteristics of real asset investments – not only as part of COVID-19 recovery programmes, but also as a way of futureproofing portfolios....
Jupiter Ecology at Maximum Optimism
Policy, technology and consumer trends are all broadening out the opportunity set.....
Quality and ESG: the keys to unlocking the European small-cap opportunity
Should European small-caps be a long-term strategic allocation for investors and can they deliver alpha throughout the economic cycle?
A Different Perspective on ESG, Growth and Technology Investing
NZS Capital´s President and Chief Risk Officer, Adam Schor, talks to us about how the new paradigm is stakeholder capitalism: that shareholder value can be improved via maximizing value for all stakeholders. And, how this Non-Zero Sum game gave the firm it´s name.....
Innovation in the sovereign green bond market – Germany’s green twin bond
Earlier this month the German government issued its first green bond and plans a regular offering to build a green yield curve. With Germany being a key capital market, we take a loo at what this means for investors....
Data-Driven, Transparent, Forward-Looking ESG
NordicInvestor interviewed Roelfien Kuijpers, Global ESG Client Officer & Head of Responsible Investments, to discuss DWS’s evolving ESG approach; its data strategy; engagement and exclusion; why ESG does not yet cover 100% of assets; transparency and reporting, and some topical themes around Covid-19, diversity and sectors....
The intersection of impact investing and UN SDGs
Building a framework to finding the companies and investments that offer much-needed solutions to many of the major challenges identified in the UN SDGs.....
Storebrand’s ESG Journey from Exclusions to Solutions
Jan-Erik Saugestad, CEO of Storebrand Asset Management, sat down to discuss the latest changes and future developments, amid a COVID-19 backdrop which is already throwing the ‘S’ of ESG into the spotlight....
Interaction between governments, companies and individuals in post-Covid-19 world will shape the future of responsible investing
We talked to Adrie Heinsbroek of NN IP to discuss the new "unknowns" that responsible investors will increasingly need to take into account in their decision-making....
A collaborative approach to impact investing
Two impact investors discuss how a holistic approach makes it possible to source more deals and evaluate opportunities in both equities and bonds.....it takes a village to raise a child......
Will COVID-19 prove a watershed for ESG?
COVID-19 has thrown new light on the interdependencies and vulnerabilities of a closely networked world. We spoke to Aviva Investors’ responsible investment specialists to ask whether this will prove a turning point for environmental, social and governance issues
Why the Market Gets Sustainable Investing Wrong
Inefficiencies in the sustainable investing segment give active investors opportunities to generate outperformance over the long term....
FIM Asset Management Expanding ESG Policies
Päivi Riutta-Nykvist, Head of Portfolio Management, explains how ESG is used as an Alpha driver for internal and external managers.....
Danske Bank’s ESG Policies and Data Analytics
We interviewed Danske Bank’s Global Head of Sustainability and Impact Investing, Ulrika Hasselgren, to find out about the firm’s growing suite of internal and external ESG analytics.
Asian Credit: the Boring Emerging Market for 2020?
We look at the key drivers in Asian credit and how careful selection means finding quality, liquidity and yield.....
Nordea’s External Product Strategy
Anders Bertramsen gives us an insight to Nordea´s thinking when picking external managers....and fires a few shots when it comes to ESG....
Church of Finland Pension’s Evolving ESG Policies
Q&A with Joonas Huttunen, CFA, Portfolio Manager and Responsible Investment Specialist at The Church Pension Fund, Finland
AP1´s Majdi Chammas on Active management and ESG
An insight into Första AP-Fonden´s distinctive approach to global manager selection....
Nordea Wealth Management’s New Investment Team in Copenhagen
Kerstin Lysholm and Linsay McPhater in place to broaden access to alternatives and sustainable investments.....
ESG & Impact Investing focus: Microfinance
SEB´s Portfolio Manager of MicroFinance, Hetal Damani, on what differentiates their microfinance strategy – both from an investment perspective and in terms of ESG.
Danica’s Private Equity Allocator: a Scotswoman in Denmark
Linsay McPhater, Investment Director of Alternatives, talks to us about private equity investing; ESG; moving from London to work in Denmark, and the dearth of women in finance in the Nordics.
AP1’s ESG and Sustainability Policies
AP1´s Magdalena Håkansson and Tina Rönnholm comment on ESG policies and how they apply to external mandates....
Real Estate and ESG
Green Premia and Brown Discounts.....
30 Years of Impact Investing
Jupiter´s Charlie Thomas reflects on legacy, long-term thinking, labels and how to navigate an ever growing investment universe...
Credit and ESG Investing
The application of ESG to credit investing is rapidly evolving, and is, thus far, most well-developed in relation to investment grade corporate credit....
The end of the road for coal?
Not only does coal have a significant climate impact – LGIM also believe that it’s a poor investment....
The Green Bonds market
For the first five years, issuance of green bonds was measured in single digit billions, but has recently accelerated to USD 155 billion in 2017, and a forecast USD 250 billion in 2018....
Sustainable investing: The first 20 years
One asset manager reflects on two decades of managing sustainable strategies. What are the lessons learnt, the changes seen, and the companies they are investing in on this journey.......
Reinventing Climate Investing
Helping asset owners prepare their equity portfolio for the transition to a low-carbon economy....
SDG Bonds: Creating a World of Opportunity for Issuers and Investors
The UN Sustainable Development Goals provide the investment community, including bond issuers, with a framework for tackling long-term global challenges....
LGIM´s Approach to Responsible Investing
How responsible investing not only mitigates risks, but also leads to better long-term financial outcomes without sacrificing performance...
Can socially responsible investing enhance returns in corporate credit?
For a bond manager, there are many credible options to deploy in an ESG strategy...
What´s Your ESG Score?
Time for boards to wake up and realise that ESG is no longer just a topic that shows up once a year in the company’s Corporate Responsibility report...
Navigating stewardship: a case study
Private markets have developed into a global, highly diversified and heterogenous universe where some sub-sectors offer investors relative and absolute value. But deployment has slowed down and we have reached a crossroads: it takes (more) time to agree on value in this new context - argues Allianz GI´s Emmanuel Leblanc
A Growing Investment Universe Still Demands Discerning Analysis
Since 1988, Jupiter Ecology’s investment universe has ballooned from under 100 to over 1,200 companies. Regulation and subsidies have spawned new industries and firms, and awareness of climate change is now global.
What does ‘ESG integration’ really mean?
Today a large number of investors and asset managers use “ESG integration” to describe their overall approach to responsible investing but what does that really mean?
Harnessing ESG as an Alpha Source in Active Quantitative Equities
State Street Global Advisors (SSGA) explain how they view ESG as a source of alpha that could lead to positive portfolio performance over time
Engineering a roster of ESG-focused managers and products
Active investment management is often said to sit somewhere between art and science. It is also said that while scientists... Read more