Weekly Snippet November (07.11. – 13.11.)
Products and Service
Lombard Odier Investment Management launched Global Carbon Opportunity Strategy
The actively managed strategy is designed to capture opportunities across carbon markets worldwide. Global Carbon Opportunity is the latest addition to LOIM’s Alternatives franchise. Key features of the strategy are beside others the upside participation in attractive risk/return opportunities globally incl. emerging markets and an alpha generation by using a broad set of instruments to capitalize on market efficiencies. Read more here.
DWS launched US Equity Dividend, Growth and Value ESG ETFs
DWS Group announced the listing of three new exchange-traded funds that provide exposure to U.S. equity investment styles with ESG-screened U.S. dividend, growth and value-oriented equities. The new listings strengthen DWS’s ESG Xtrackers suite that ranges across most major equity and fixed income markets and can be used as core portfolio building blocks. Read more here.
Bloomberg Philanthropies and Goldman Sachs backed fund announced its first investments
The Bloomberg Philanthropies and Goldman Sachs-backed Climate Innovation and Development Fund has completed its first set of blended-finance investments focused on innovation across the sustainable transport sector in each of India and Vietnam. These initial investments unlock up to $500 million in private sector and governmental investments in support of sustainable low-carbon economic development with a focus on South and Southeast Asia. Read more here.
Standardized ESG disclosure templates launched for private credit markets
The ESG Integrated Disclosure Project (ESG IDP) released a freely available template which introduces a standardized, comparable format for collecting relevant ESG information. The ESG IDP template will enhance transparency and consistency for both private companies and credit investors by providing a standard format for ESG-related disclosures. The template offers private companies a baseline from which to develop their ESG reporting capacity. Read more here.
Deloitte and Persefoni announced development of an analytics solutions for the banking and insurance industry
Deloitte and Persefoni have formed a strategic alliance to develop analytics solutions in order to help provide organizations in the banking and insurance sectors a new path for measuring, disclosing, and managing their carbon footprints — both operational and financial — as part of their climate journey. Read more here.
KKR to invest $400 million in decarbonization platform Serentica Renewables
KKR and Serentica Renewables announced this week the signing of definitive agreements under which KKR will invest $400 million in the company. Serentica looks to deliver round-the-clock clean energy solutions for large-scale, energy-intensive industrial customers. This includes providing renewable energy solutions through long-term Power Purchase Agreements and working closely with customers to design their paths to net-zero electricity. Read more here.
HSBC AM launches EM sustainable corporate bond fund
The HGIF Global Emerging Markets Corporate Sustainable Bond fund will file under SFDR Art. 9 and invest in EM domiciled companies that contribute to the UN Sustainable Development Goals. The fund will be managed by Caroline Keany and Julio Obeso and will focus on high-conviction and low turnover within the portfolio. The portfolio managers will utilize continuous engagement and integration of sustainability objectives. Read more here.
Royal London Asset Management (RLAM) launched Global Equity Transitions Fund
Employing a high-conviction and actively managed approach, the new Fund will invest across global equity markets to provide investors with exposure to companies that can make a real contribution to the transition to a more sustainable world. These companies will be characterized by their ability to transition their own businesses over time to a more sustainable path and / or contribute to the transition of others, whilst also demonstrating a record of active engagement with shareholders. Read more here.
Regulations and Law
US Government announced roadmap for nature-based solutions to fight climate change
The Biden-Harris Administration released this week the Nature-Based Solutions Roadmap, an outline of strategic recommendations to put America on a path that will unlock the full potential of nature-based solutions to address climate change, nature loss, and inequity. Read more here.
EU Parliament adopted new reporting rules for multinational companies
The Corporate Sustainability Reporting Directive (CSRD), adopted this week with 525 votes in favor, 60 votes against and 28 abstentions, will make businesses more publicly accountable by obliging them to regularly disclose information on their societal and environmental impact. This would end greenwashing, strengthen the EU’s social market economy and lay the groundwork for sustainability reporting standards at global level. Read more here.
UK Transition Plan Taskforce (TPT) announced its Disclosure Framework
The TPT has published its Disclosure Framework and accompanying Implementation Guidance this week. It has also launched a Sandbox for companies and financial institutions to test the implementation. The Disclosure Framework and Implementation Guidance are open for public consultation until 28th February 2023. Read more here.
ESG Data and Analytics
Moody´s called for feedback on its proposed framework to assess the Net Zero transition plans of non-financial companies
Moody’s Investors Service is requesting feedback from market participants on a proposed framework for providing Net Zero Assessments for non-financial corporate entities. This would offer an independent and comparable assessment of the strength of an entity’s carbon transition plan. The planned score consists of two components: An ambition score and an implementation score. Read more here.
Canada Pension Plan Investment Board
Canada Pension Plan Investment Board’s (CPP Investments) appoints Richard Manley as new Chief Sustainability Officer. One of Manley´s key responsibilities will be the further refinement and execution of the fund´s sustainable transition strategy.
Vontobel appointed Jean-Louis Nakamura as Head of its Sustainable Equities Boutique. Nakamura joins from Lombard Odier Investment Management where he spent 14 years incl. roles of CIO and CEO of the Asia Pacific and Hong Kong offices.
Credit Suisse Asset Management
Credit Suisse appoints Nisha Long as Head of the Sustainability Research team. Long is joining from Citywire.