The social factor in ESG has taken on a more prominent role during the covid-19 crisis, says Head of Fundamental Equities at Danske Bank AM. If companies don’t take this tendency seriously, they might end up in dire straits.
Scale and the ability to have a wide product range are the essentials if Nykredit Wealth Management wants to continue growing, says CEO Peter Kjærgaard. He also sees great value in being owned by Nykredit's customers.
Norwegian asset manager Skagen Fondene uses the same investment criteria and sustainability policy as its mother company Storebrand when assessing which companies meet their sustainability profile. Currently nearly 250 companies are excluded.
AM Series: Co-head of client group Nordics at AXA Investment Managers had to turn around at the airport when travel restrictions were imposed on the French asset manager's employees. The behavior of some of his clients surprised him and the seven people working at the Stockholm office.
Last month, Storebrand AM initiated a dialog with Brazil heading a group of 29 investors to to stop the rapid deforestation of Brazil's Amazon rainforest. Now the investor group is counting 34 funds and is already seeing "real impact", says Jan Erik Saugestad, Chief Executive of Storebrand.
"As far as I know, we're the only ones in the Nordic market with this function, which is in line with our goal to be leading in the Nordics in terms of offering a broad selection of sustainable investments," says Bjørn Erik Sættem, savings economist at Nordnet.
Tundra's funds peaked in 2018, after which the company saw strong outflows also continuing somewhat into 2019. CIO Mattias Martinsson, who in June said he didn't expect more investors to give up on the asset class this year, is hopeful of the upcoming US election. "The election can enable investors to note there is a new president with a more positive outlook on the outside world," he says.
According to NAM's Head of Responsible Investments, the asset manager has not been impressed with JBS' level of commitment. NAM dropped JBS from its portfolios after several meetings in Brazil regarding the company's connections to cattle from farms involved in deforestation, Eric Pedersen says in the Guardian.
To accommodate increasing electricity demand from developing countries over the next decade, Industriens Pension plans to increase investments in wind and solar energy. The pension fund has just invested DKK 1bn (EUR 134.4m) in an energy fund focusing on renewable energy projects in emerging markets.
Some of the world's largest coal mines are still part of PKA's portfolio despite their fresh, more strict investment policy. Other Danish pension funds and the Norwegian oil fund exclude these coal mining giants.
Danish pension fund Velliv is one of the first investors in Nuveen's new Global Impact Strategy, targeting six UN SDGs to tackle income inequality and climate change in the wake of the covid-19 pandemic.
The largest asset manager in the Nordics, Nordea Asset Management, wants to rival Europe's elite and has taken great strides in recent years, according to CEO, Nils Bolmstrand. He tells AMWatch how the next steps will be taken in this conquest – while staying alert about the growing competition from global peers within ESG investing.
Danish wind turbine producer Vestas is not necessarily a sustainable investment, even though the company offers green solutions. According to sustainable investment players, Vestas should cut closer to the chase with its CO2 reductions and focus more on local issues tied to compliance with production requirements.
BNP Paribas AM has launched an environmental long/short equity fund called EARTH. The new fund enables investors to benefit from positive change in both high and low carbon-intensive sectors, according to co-fund manager Ulrik Fugmann.
Danske Bank Asset Management has developed an ESG tool to help investment professionals navigate the growing ocean of ESG data and discover companies with a hidden ESG premium. The newly appointed Head of Fundamental Equities and one of the tool's architects shed light on the prospects.