Financial institution Nordea introduces thematic investment fund.
Nordea Asset Management Launches Global Climate and Social Impact Strategy
Nordea Asset Management is expanding its ESG (Environmental, Social, and Governance) product range with a new global thematic equity product called the Global Climate and Social Impact Strategy. This innovative strategy aims to generate positive environmental and social outcomes alongside financial returns by investing in companies and projects that actively contribute to climate action and social sustainability.
Thomas Sørensen and Henning Padberg will manage the Global Climate and Social Impact Strategy, who are also responsible for the Nordea 1 - Global Climate and Environment Fund (ISIN: LU0994683356). The strategy benefits from a strong ESG research platform, ensuring investments meet high sustainability standards.
The Global Climate and Social Impact Strategy is a global, fundamental bottom-up solution that seeks companies that balance sustainable ambition with profit-driven goals. It targets companies offering solutions to climate change and social issues, such as those promoting green transitions and social progress. Impact analysis is fully integrated in the portfolio management, allowing for a comprehensive assessment of the environmental and social impact of investments.
The strategy is classified under Article 9 of the EU Sustainable Finance Disclosure Regulation (SFDR), reflecting its focus on sustainable investments that have a positive impact on society and the environment. It is designed for investors who prioritize social and environmental aspects, with a growing group of conscious consumers interested in both the products and production methods of the companies targeted by the strategy.
Climate change and social challenges are addressed in the Global Climate and Social Impact Strategy. The strategy typically includes investment in green bonds, social bonds, and sustainability-linked instruments, employing debt instruments specifically designed to finance environmental and social projects. Reporting and transparency are key aspects of the strategy, with investors receiving clear impact reporting to measure and communicate the environmental and social outcomes of investments.
Nordea’s expertise in ESG and sustainable finance advisory supports the strategy, helping investors navigate complex market and regulatory developments to optimize impact. The strategy aligns with international frameworks like the Paris Agreement and the UN Sustainable Development Goals, demonstrating Nordea Asset Management's commitment to sustainable investing.
According to Thomas Sørensen, it is crucial to address the social challenges of our current society. By launching the Global Climate and Social Impact Strategy, Nordea Asset Management is taking a significant step towards promoting sustainable investment and contributing to a more inclusive, low-carbon economy.
[1] Nordea Asset Management website: https://www.nordea.com/asset-management/products/equities/global-climate-and-social-impact-strategy/ [3] Nordea Sustainable Finance Report 2021: https://www.nordea.com/globalassets/documents/en/corporate-responsibility/nordea-sustainable-finance-report-2021.pdf [5] ICMA Green Bond Principles: https://www.icma.net/market-practices/green-bond-principles
- The Global Climate and Social Impact Strategy by Nordea Asset Management invests in companies and projects that actively contribute to climate action and social sustainability, with a focus on companies offering solutions to climate change and social issues.
- Thomas Sørensen and Henning Padberg, who manage the Global Climate and Social Impact Strategy, also oversee the Nordea 1 - Global Climate and Environment Fund, and the strategy benefits from a strong ESG research platform.
- The Global Climate and Social Impact Strategy employs debt instruments, including green bonds, social bonds, and sustainability-linked instruments, specifically designed to finance environmental and social projects.
- Reporting and transparency are vital aspects of the strategy, with investors receiving clear impact reporting to measure and communicate the environmental and social outcomes of investments, aligning with international frameworks such as the Paris Agreement and the UN Sustainable Development Goals.
