Impax Asset Management (Impax), a specialist asset manager investing in the transition to a more sustainable global economy, has been awarded a AUD240 million mandate by Cbus, one of Australia’s largest superannuation funds, which supports the building, construction and allied industries.
The mandate is focused on climate mitigation and adaptation and is managed using the Impax Climate Strategy, a global equities strategy investing in companies providing solutions to the challenges around climate change. The Impax Climate Strategy seeks to invest globally in listed companies with demonstrable exposure to products and services enabling mitigation of climate change or adaptation to its consequences.
The strategy invests in a diverse range of sub-sectors, focusing on companies which provide climate mitigation solutions, primary adaptation solutions, and secondary adaptation solutions. For mitigations solutions, these sub-sectors include New Energy, Greenhouse Gas Control, Sustainable and Efficient Agriculture and Waste & Resource Efficiency. For primary adaptation solutions (for the direct consequences of climate change), Energy Systems Resilience, Water Supply Resilience, Agriculture & Aquaculture & Forestry Resilience, and Other Infrastructure Resilience. For secondary adaptation solutions (for other challenges arising out of climate change) in Information & Communications, Financial Services, Healthcare and other adaptation services.
All portfolio companies are positioned to contribute to the transition to a Paris Aligned economy. The strategy is co-managed by Bruce Jenkyn-Jones and Jon Forster.
Jon Forster, Senior Portfolio Manager, Impax Asset Management, says: “Asset owners are increasingly prioritising climate change mitigation and considering climate risk in their investment decisions. The Impax Climate Strategy responds to that need, but also to our belief that there are considerable investable opportunities as society adapts to the consequences of climate change. This is part of our wider philosophy that capital markets will be shaped profoundly by a variety of global sustainability challenges, based on our over 20 years’ experience investing in environmental markets.”
James Crawford, Head of Equity Portfolio Construction, Cbus, says: “Cbus is Australia’s leading super fund for building and construction. As a fiduciary, we continue to support investments that reduce our portfolio and real world emissions whilst capturing the enormous opportunities arising to limit global warming to 1.5 degrees. Impax is renowned globally for pioneering investment in opportunities arising from the transition to a more sustainable economy. This investment supports both our need to invest in solutions and our commitment of a 45 per cent reduction in absolute carbon emissions by 2030. Impax’s expertise, leadership, and track record of managing climate related listed equity strategies all contributed to our appointing them.”