Stockholm (NordSIP) – Sweden’s AP Funds have been selected to the Bretton Woods II list of the 25 most responsible asset allocators in the world.
The Bretton Woods II program, also known as the Responsible Asset Allocator Initiative, an initiative from New America, has analysed over 120 funds comprising $20 trillion in assets to compile a global standard for leadership in responsible and ESG investment. The initiative is developed in partnership with the Global Development Incubator, Dalberg, and the Fletcher School at Tufts.
“The Responsible Asset Allocator Initiative is a window into the future of investing. In the past, there was a misperception that asset allocators had to choose between maximising returns and deploying capital responsibly. Our findings show this is not the case,” said Dr Tomicah Tillemann, director of the Bretton Woods II program at New America.
“No sensible asset allocator would knowingly invest in companies that pollute the environment, exploit labour or that operate unethically, behaviours certain to destroy value in the long term. The BWII Leaders List highlights 25 asset allocators that work hard to address these risks in their investment process… Responsible investing is part of their DNA and embedded in their culture,” added Scott Kalb, senior advisor to the Bretton Woods II program.
The project evaluated almost 300 asset allocators, finally performing detailed analysis of the 125 of these that met a series of high-level selection criteria. Evaluation took place on the basis of 10 principles including disclosure, integration, commitment and accountability,
The AP Funds are the only Swedish entity to make the list and one of only nine from across Europe selected to the list as global leaders on responsible investing. Others from the Nordics include Denmark’s ATP Group and PKA, alongside Norway’s Sovereign Wealth Fund.
AP funds 1 and 2 are currently disputing new Swedish government regulations to ensure more independence in their investment processes, in line with both government stipulations and the funds’ own imperatives regarding the possibilities for responsible investment.
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