September 2021

Potencial y limitaciones de la economía verde

Por Daniela García El concepto de economía verde regresa a Río de Janeiro retomando notoriedad, casi la misma que tuvo el de desarrollo sostenible cuando se introdujo hace cuarenta años. Actualmente, “el paradigma de la economía verde” tiene un papel central en las agendas y documentos de trabajo del sistema de Naciones Unidas asociándose, o a veces confundiéndose, con el desarrollo sostenible. La agenda mundial hacia una economía verde lograría el desarrollo sostenible y la erradicación de la pobreza. Además, ante...

2020 Annual Impact Investor Survey

By Dean Hand, Hannah Dithrich, Sophia Sunderji & Noshin Nova (GIIN Research Team) The 10th edition of the Global Impact Investing Network’s (GIIN) Annual Impact Investor Survey reflects insights from 294 respondents that collectively manage USD 404 billion of impact investing assets. Respondents shared their investment activity for the year ending 2019 and their plans for 2020, their reflections on developments over the past decade, and their views of future challenges facing the market. The report also includes longitudinal analysis...

Private pension plans in Latin America and sustainable finance

The private pension plan (PPP) market in Latin America is the region’s largest institutional client segment, with more than USD 900 billion in assets under management (AUM) at the end of 2020. And with projections forecasting AUM to reach USD 1.4 trillion by 2023, the PPPs are a reference point for smaller investors. Along with sovereign wealth funds (SWF), Latin America’s PPPs control a significant share of assets relative to GDP and thus can be very influential in the...

México. BIVA llama a tener políticas públicas para impulsar inversiones ASG

La Bolsa Institucional de Valores (BIVA) hizo un llamado a las autoridades del país para que trabajen en políticas públicas que impulsen las inversiones con criterios ambientales, sociales y de gobernanza (ASG), ya que si bien ha habido avances importantes, es necesario que crezcan más, pues la tendencia mundial de inversión se encamina hacia activos con estas características. La directora general de BIVA, María Ariza, reconoció que en 2020, la Comisión Nacional del Sistema de Ahorro para el Retiro (Consar)...

Sweden. AP2 continues sustainability journey with stellar returns and costs

Swedish buffer fund, AP2, has incorporated Paris-aligned rules into its benchmark construction for global and emerging market equities. This year it turns its attention to Swedish and Chinese equities. The moves come on the back of the best-ever half year return for the SEK421.2 billion fund and its lowest ever costs. AP2 is one of the originals, a long-time ESG investor that has sustainability at its core. It started to divest from fossil fuel exposed companies in 2014 with a rationale...

Sustainable investing gaining ground in Asia

Sustainable investing continues to gain ground in Asia, with governments, pension plans and asset managers moving to incorporate environmental, social and governance (ESG) factors into their investment strategies, a new study finds. Globally, most pension fund investors stayed the course with their asset allocation, even amid heightened volatility and uncertainty over the last year, according Mercer’s Asset Allocation Insights 2021 report. Foreign equities now represent 51% of aggregate equity allocations globally, the first time since 2013 that exposure outside of investors’...

Social Investment: A New Zealand Policy Experiment , Jonathan Boston and Derek Gill (eds) (2018)

By Alessandra De Marco The notion of prioritising ‘productive’ social investments over ‘consumptive’ social spending has long been advocated but only sporadically applied. Since 2011, however, New Zealand governments have implemented an ambitious, multi-agency social investment agenda that promises to overhaul public social spending through analyses of citizen-derived data. This commentary focuses on the development and features of the social investment agenda. In doing so, it discusses the apparent primacy of fiscal outcomes over social outcomes, and the practices and...

Global Pensions and ESG: Is There A Better Way?

By Luba Nikulina The influence of ESG factors has been growing exponentially in the last five years. This paper explores whether purpose with multiple stakeholders, responsibility for the impact of investments, and system level engagement apply to global pension funds. Aside from government spending, global pension assets represent the largest pool of capital on the planet with the longest time horizon and multiple stakeholders across different generations. The power of influence of this capital is enormous. Many international challenges can...

Sustainability Gains In Asset Management, Led By Marketing

Asset managers are paying more attention to ESG — environmental, social and governance — concerns, according to a recent report from Northern Trust. “While many European markets have long made ESG a focus in their investment strategies, other mature markets in parts of North America and Asia have had a less straightforward approach,” Northern Trust reported, although recently Canadian asset managers have moved ahead of the U.S. “Alongside the pandemic, the summer of 2020 brought a global reckoning with racism, originating...

August 2021

How to avoid green bubbles and diversify against climate crisis

Although green bubbles are emerging as a result of the sustainability boom, investors can find safer ways to tap into the climate transition theme. This is according to Nikesh Patel, head of investment strategy at Kempen, who agreed that bubbles are emerging when investors invest in the theme too narrowly, giving the farmland sector as an example. Read also ESG: Impact Investing ‘If you invest only in listed farmland equities, and that became your focus - you are creating a bubble, because...