Though its first global ESG equity mandate has recorded an 11% loss since 2021, the pension fund is sticking to its long-term ESG goal.
The lack of efficient return and risk metrics is preventing life insurance companies from participating in long-term sustainable investments in blended finance.
The SWF also aims to review and update its negative investing list on a regular basis to prevent systemic risk.
The new sustainable investment vehicle is expected to target more renewable projects in Latin America, Africa and South Asia.
Apac asset owners are more keen than their global peers on private equity and infrastructure sustainable investments. However, they trail behind in public equity.
The most common strategy was ESG integration, with $24.6 trillion of AUM deployed, although negative screening and shareholder action were also popular.
Impact investing aims to identify businesses and organisations pursuing purpose-led activities serving the needs of the global economy and environment. A thematic approach to impact investing seeks to identify opportunities created by pressing issues that can be identified as megatrends – including climate change, access to water and pandemics.
CLSA's mezzanine fund finances $60 million transaction as 136 cities in China face severe water shortages.