UNGA Accelerators, and Seven Sinners
The 73rd United Nations General Assembly held in New York this week yielded several new launches and investment initiatives to help accelerate the implementation of the UN SDGs and Paris agreement objectives. The UN Development Programme (UNDP) launched SDG Impact, a new initiative to channel private investment to determine the best ways to invest in enterprises and markets in alignment with the 17 SDGs. Emmanuel Macron’s One Planet summit yielded a new Climate Finance Partnership between France, Germany and a number of foundations together with BlackRock. And the Climate Bonds Initiative launched its 2018 bonds and climate change report at the HSBC Finance for Global Change forum, identifying a potential universe of $1.45 trillion in climate-aligned bonds.
Fair Finance Guide Sweden suggests that Sweden’s seven biggest banks – among them Danske Bank, Handelsbanken, Länsförsäkringar, Nordea, SEB, Skandia and Swedbank – continue to invest in blacklisted companies, such as Renault and Shell, that violate human rights and contribute to serious environmental degradation.
Last week, NordSIP attended the ESG Integration Summit arranged by Skytop Summit and hosted at Nasdaq in Stockholm. Arabesque, State Street and Handelsbanken discussed Alpha generation with ESG.
Pareto Asset Management announced that it’s Global Corporate Bond Fund obtained the Swan Eco-label, as it fulfills 25 criteria based on ESG integration. It is the first credit fund among 20 to have been quality-stamped with a Swan so far. Meanwhile, Swedish property giant Vasakronan issued the world’s first green commercial paper, with three issues amounting to SEK 610 million to be listed on Nasdaq Stockholm’s equally new green commercial paper list.
Denmark also announced that it will be holding its P4G Partnering for Green Growth and Global Goals 2030 fund summit in Copenhagen on 19-20 October (instead of November).
Heard on E-Street
Two other events last week, the United Nations ESG Investing Conference and the PRI in Person annual gathering, paid tribute to late UN General Secretary Kofi Annan’s often overlooked role in laying the foundations for sustainable investing. Annan was behind the launch of the UN Global Compact in 2000, and through that led an initiative that laid the foundation for the establishment of the UN PRI in 2006 (Morningstar).
Investment advisors VanEck take a look at how to use green bonds to build an SDG portfolio, explaining how green bonds align with specific SDG targets and the potential economic impact achieving those goals could have (Seeking Alpha).
The Norwegian Fund and Asset Management Association (VVF) and the Swedish Investment Fund Association (Fondbolagens förening) are highlightingchallenges ahead this Autumn pertaining to Mifid II, the regulation of technology and changes to the premium pension system (Investment Europe), while Swedish Emerging Markets investment fund East Capital launched a UCITS version of its China A shares strategy (press release)
Famous Last Words
“If GHG emissions and rising temperatures continue on their current trajectories, we could well reach the point at which future generations will have to endure “Hothouse Earth”… But just as recent scientific work has underscored the dangers of climate change, so, too, has it shown the way forward… If we can ensure exponential technological progress and marshal the necessary political will, we can tackle the climate crisis. A “Stable Earth” is still within our reach.” – Former Sweden Prime Minister and Foreign Minister Carl Bildt, urging the primacy of a positive attitude in seeking to avert disaster at this week’s World Economic Form meeting (Project Syndicate).
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