Sweden’s largest buffer fund, Sjunde AP-fonden – known as AP7 – has pumped another SEK500m (€48.5m) into a ‘green impact’ strategy with Impax Asset Management, bringing the total mandate to SEK1.4bn (€135.8m).
The €60bn scheme, which sits within the ‘premium’ part of the state pension system – in which savers can choose their provider – first awarded Impax’s Leaders Strategy the mandate in 2018.
In 2017, AP7 divested some €300m worth of stocks in companies it claimed were “in direct violation of the Paris Agreement”, including Exxon and Gazprom. Speaking to RI last year, AP7’s Head of ESG, Johan Floren, explained: “Then we decided to take the same amount of money and invest it in green impact equity.” That translated into two mandates – one for water, run by KBI, and one for climate change, run by Impax.
Impax describes the strategy as one based on “identifying mispriced companies that address several long-term macroeconomic themes”. The…