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PenSam is a Danish labour market pension fund that manages occupational schemes for workers in elderly care, cleaning, technical services, and pedagogical care in Danish municipalities, regions and private companies. the schemes are mainly the result of collective agreements between employers and unions. PenSam also provides banking and insurance services to its members.
PenSam allocates to listed equities, sovereign and corporate bonds in developed and emerging markets, private equity, infrastructure, and property. It publishes a list of companies and nations excluded from the portfolio for sustainability or human rights breaches.
PenSam aims to apply ESG criteria to the whole portfolio, through negative screening as well as active green and socially responsible investment choices. It also operates a strict tax policy across all holdings. Portfolio screening is carried out via Sustainalytics and proxy voting with support from ISS Governance. PenSam also takes part in collaborative investor initiatives such as the local Danish Sustainable Investor Forum (Dansif), the Institutional Investors Group on Climate Change (IIGCC), and Climate Action 100+.
As a member of the Paris Aligned Investment Initiative PenSam has set a climate objective of reducing portfolio emissions by a minimum of 55% by 2025 and achieving net zero by 2050. It also aims to dedicate 20% of its total assets under management to green investments by 2030 in line with the EU taxonomy. By mid-2024, PenSam’s green investments totalled nearly €1.75bn, with roughly €600m committed to green infrastructure and a further €530m earmarked for 2025.
In 2024 PenSam announced a collaboration with S&P on a customised climate-focused index based on IPCC-aligned carbon budgets. As a result, it has adjusted its strategic allocation to underweight traditional energy companies by 90%. The new benchmark also supports PenSam’s climate targets via a 70% reduction in carbon emissions compared to the reference benchmark and an annual target of reducing emissions by an additional 7%.
Later in 2024 PenSam joined three other pension companies in participating in the creation of a Sustainable Development Goal (SDG) fund for developing countries. PenSam favours partnership structures for more complex alternative investments, as well those incorporating public finances within infrastructure projects.
PenSam was named Danish Pension Fund of the Year at the 2024 IPE Awards, along with a specialist award for Portfolio Construction & Diversification.
