NordSIP (Stockholm) – Fondmarknaden, Sweden’s largest fund trading site, operated by FondAB, a wholly owned subsidiary of MFEX Mutual Funds Exchange AB, announced it will implement Morningstar’s sustainability rating for funds with low carbon footprint for customers of on its platform.
Mikael Tjäder, CEO of Fondab, says: “We at Fondab believe that sustainable investing is the future, both in terms of getting good returns but also because there are great opportunities to influence our world with how we invest. The ability to better analyse the sustainability of funds gives investors more transparency and managers clearer sustainability goals to work towards. The pace of sustainable investments has increased. It is a clear trend that will continue and something that we in Fondab will increasingly focus on.”
Fondmarknaden customers will be able to filter funds with the help of two new independent risk measures developed by Morningstar. First, they can use Morningstar’s Sustainability Rating to compare funds within the same category regarding their investments’ ability to manage ESG issues and sustainability risks. This measure is based on data about the companies that funds have invested in compiled by Sustainalytics, one of the world’s leading specialists in ESG with over two hundred analysts covering more than 9,000 stock exchange companies globally.
The second measure finds low-risk funds by identifying low CO2 risk value and limited exposure to fossil fuels. The risk measure shows whether the fund’s holdings can cope with a transition to a society with a focus on low carbon emissions.
“We are very pleased that Fondab has chosen to include Morningstar’s sustainability rating and the carbon dioxide risk measure on its platform. It gives the saver a powerful tool to compare funds from a sustainable perspective,” says Per Mattsson, Head of Nordics, at Morningstar.
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