Category: Funds

Pensioenfonds Detailhandel has allocated €3bn to a BlackRock bond fund focused on the Sustainable Development Goals, in a move the €32bn Dutch retail pension scheme claims brings almost half its assets in line with its priority SDGs. The fund tracks a custom-made benchmark from FTSE covering fixed-rate investment grade Euro-denominated bonds weighted according to their contribution to four SDGs: decent work and economic growth; responsible consumption and production; climate action; and peace, justice, and strong institutions. The index is further tilted towards green bonds, resulting in a 69% increase in allocation to green bonds versus the parent index. The resulting index also has 69% lower emissions than the parent, and a 62% reduction in fossil fuel reserves. It is the pension fund’s third SDG-aligned benchmark focused on its credit portfolio and is part of its wider aim to develop a “full suite of next generation sustainable fixed…