Norway’s KLP reviewing ESG providers

€22bn Norwegian manager issues request for proposal

KLP Kapitalforvaltning, the Norwegian asset manager with NOK176bn (€22.4bn) of assets under management, is seeking requests for proposals for environmental, social and governance (ESG) portfolio monitoring, analyses and engagement as it reviews its ESG service providers.
“KLP Kapitalforvaltning is seeking to continuously improve its work on responsible asset management,” the firm said, adding: “As a part of this, we are currently reviewing service providers related to the implementation of our responsible investment strategy.”
Oslo-based KLP currently uses Sweden-based GES Investment Services as its ESG consultant. GES was involved earlier this year when KLPexcluded four US-listed firms: FMC Corp., Potash Corp. of Saskatchewan, Jacobs Engineering and McDermott International.

The RFP calls for monitoring the investment universe (except tobacco) and facilitating KLP’s engagement with companies. KLP says it may award contracts to several providers.
Providers will “demonstrate broad international equity coverage and distinguish themselves by international experience and presence” – and reasonable pricing.
The provider will preferably be a signatory to the UN Global Compact or the UN Principles for Responsible Investment.
The deadline for responding to the RFP is October 31, with contracts to be awarded in February 2011.