Substantial growth in fossil free funds

Two years ago, the Storebrand Group launched its first fossil free fund. The group's total AUM in fossil free investments now amounts to USD 7.6 bn, representing 8.5 % percent of total AUM.

– I have never seen a group of funds grow at this rate before. From initially being a niche product, it has become an obvious building block in many sustainable investment portfolios, says Jan Erik Saugestad, CEO Storebrand Asset Management.

The growth in these funds both come from an increased customer demand, and a clear strategy of Storebrand to move their own assets in a low carbon direction.

– At Storebrand, the house has a view. We invest in these funds to diversify our client's climate risk through lowering their CO2 exposure. We also see an increased amount of clients with a specific low carbon investment strategy. The development is a clear signal that a true shift in sustainable investments is on its way and that our clients wish to further act upon their growing concern for climate change, says Suagestad.

Norway's largest investor Storebrand, with USD 89 bn AuM, integrates sustainability at the core of its business strategy. With more than twenty years of experience with sustainable investments, considerable steps has been taken towards a low carbon economy. The latest additions to its strategy is a new fossil free product line growing more rapid than ever seen before.