Sustainable Funds Central to Storebrand Outperformance

Stockholm (NordSIP) – Sustainable solutions have been a driving factor in Storebrand Asset Management’s impressive performance for 2017, its CEO Jan Erik Saugestad said yesterday (February 20th). The Norwegian financial services company’s AUM increased by over 25 per cent over the course of 2017, amounting to approximately €73 billion at year’s end.

“We have experienced fantastic growth in Sweden and Norway over the past years, creating good conditions for international expansion,” Saugestad said. “We are particularly satisfied with the strong demand for sustainable solutions in our home markets and we know there is a great demand outside Sweden and Norway. This is an area [in which] we have headstrong recognition as an international investor.”

Storebrand AM has over 20 years of experience with sustainable solutions. All assets and funds are managed sustainably, and the company offers broad and scalable solutions suited for both institutions and private investors.

For example, Storebrand AM launched Storebrand Global ESG, a global equity fund aiming for long-term capital growth by focusing on companies that maintain strong environmental, social and corporate governance credentials, in September of last year. The fund is index-based with UCITS status, invests in about 700 of the approximately 1600 companies in the MSCI world index, and has a management fee of just 0.4%.

In December at Emmanuel Macron’s ‘One Planet’ summit, it announced the launch of Storebrand Global Kreditt IG (UCITS), a fossil-free, actively managed bond fund investing in international corporate bonds issued by financial institutions and industrial companies within the OECD. The fund excludes investments in the energy sector.

“Lately our low carbon and fossil-free funds have gained a lot of attention and inflow, as customers are raising their climate ambitions. Investors increasingly recognise global issues, such as climate change, as a financial risk, but also as [an] investment opportunity. With our experience in the field and cutting edge products, we believe an international expansion will provide us with great market opportunities,” Saugestad said.

Storebrand, which also acquired sustainable fund management company Skagen last year, did so with a view towards further expansion in Europe.

“Skagen has successfully built strong recognition and distribution capabilities abroad that we aim to further strengthen. Their network and knowledge represents an opportunity for a broader and faster distribution of sustainable funds, and together we have a strong offering for the European market,” Saugestad remarked.

Image: (c) Storebrand