LUXEMBOURG, LU — Nordea Asset Management (NAM) – a global leader in sustainable and responsible investing – has received an allocation in excess of USD550m for its Emerging STARS Bond Strategy from Velliv, a leading Danish pension provider.
“We are extremely pleased by Velliv’s investment in the Emerging STARS Bond Strategy,” says Thede Rüst, Head of Emerging Market Debt at NAM, who will be managing the investment. “In the same way that ESG risk is an important factor in EM equities, it can be particularly material in the EM debt environment. This strategy aims to beat the benchmark and deliver long-term sustainable returns and responsibility by offering a materially improved ESG profile compared to the general market.” *
Nordea’s Emerging Stars Bond Strategy is an actively managed EM Debt portfolio investing primarily in hard currency sovereigns. The strategy does not invest in countries with a poor ESG profile**, protecting this strategy from financially-material ESG risks.
“We all have a responsibility to make sure our investments are managed with high sustainability standards,” says Anders Stensbøl Christiansen, CIO at Velliv. “This does not only go for investments in corporate companies, but is equally important when we invest in, for instance, bonds issued from Emerging Market countries. Nordea Asset Management sets high standards and has a very thorough process for analysing ESG related risks in Emerging Market Debt. Combining this with a strong and robust investment process and team around it, we are convinced our Emerging Market Bonds exposures are in the right place with Nordea Asset Management.”
NAM, which manages €254bn and forms part of the largest financial services group in the Nordic region, has been a pioneer in the Responsible Investment space and was an early signatory to the UNPRI in 2007.