With its three dedicated equity impact-aligned funds, Swiss Life Asset Managers strives to build the next generation of purpose-driven impact investments with an attractive risk-return profile. The palette of investment solutions provides clients with a unique and diversified access to specialised companies and supports the achievement of the United Nations’ Sustainable Development Goals.
Swiss Life Asset Managers’ impact investments intend to generate positive and measurable environmental impact alongside a financial return. All dedicated funds under the umbrella are SFDR Art.9 compliant, as well as impact aligned, which means they invest in companies whose products contribute to the achievement of specific UN Sustainable Development Goals (SDGs).
The Swiss Life Funds (LUX) Equity Climate Impact Fund invests in companies whose products and services contribute to mitigate climate change. Such com-panies typically operate in business areas like alternative energy generation, electric vehicles, or energy efficiency solutions.
The Swiss Life Funds (LUX) Equity Environment & Biodiversity Impact Fund selects companies whose products and services contribute to preserve terrestrial and marine ecosystems and biodiversity. For example, in the areas of pollution prevention and control, water treatment or sustainable agriculture.
Swiss Life Funds (LUX) Equity Green Buildings & Infrastructure Impact invests in companies whose products and services help develop energy-efficient buildings and green infrastructure to reduce the envi-ronmental impact of urban communities. For example, products and solutions in the field of clean transport infrastructure, energy efficient lighting and insulation solutions.
“We are convinced that investors have an essential role to play in accelerating the development of business models with positive environmental impact, by directing their investments towards innovative companies offering solutions to environmental challenges.” Comments José Antonio Blanco, Head Investment Manage-ment at Swiss Life Asset Managers.
Clear and Measurable
A hallmark of impact investing is the commitment of the investor to measure and report the social and envi-ronmental performance and progress of underlying investments, ensuring transparency and accountability while informing the stakeholders of impact investing and developing the field. Our impact measurement of companies’ contribution aligns with the framework of The United Nation Sustainable Development Goals (SDGs).
This means selection of the relevant and investable SDGs for each environmental challenges targeted by the funds. Swiss Life Asset Managers uses clearly de-fined and easy to understand impact and ESG metrics to build the investment approach. Revenue share from impact products and services is the key metric for the funds. The objective is to maximise the impact revenue share while retaining a well-diversified portfolio with attractive return potential.
For each fund, there is a set of minimum impact revenue share conditions to respect based on the maturity of each market. All funds have to exclude companies with a cumulative negative contribution to any SDG above 5% of revenue, as well as companies with a low ESG-rating or severe controversy. By contributing to the achievement of the selected SDGs, the funds invest in companies that generate a measurable positive impact along adequate financial returns.
Advantages of investing in impact funds
The impact investing market offers diverse and viable opportunities for investors to advance social and envi-ronmental solutions through investments that also produce attractive financial returns. Swiss Life Asset Managers’ equity impact funds are a focused and dedicated set of funds which allow investors contribute to specific environmental goals with a risk optimised and geographically diversified investment strategy. Impact investing is seen as a useful complement to other investments in a portfolio.
“Our futures are interdependent. As investors we have the opportunity to take on the challenges facing our environment. Through impact investing, we can support environmental and social change and at the same time achieve our goals as investors.” adds Marco Della Seta, Head Portfolio Management Equity at Swiss Life Asset Managers.
Responsible investing at Swiss Life Asset Managers
Sustainable investments are deeply embedded in the corporate DNA of Swiss Life Asset Managers. In the last few years, Swiss Life Asset Managers has developed a comprehensive ESG concept and approach to respon-sible investing. For detailed information can be found in the Responsible Investment Report.