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Robeco launches ‘sustainable transition’ strategies

The Dutch asset manager is expanding its capabilities with strategies that seek alpha from sustainable transition.
Wind Turbines in a Wind Farm with a Coal Fired Power Plant in the Background

Robeco has strengthened its position in transition investing with the launch of two new equity strategies, and the repositioning of two fixed income strategies.

The strategies allow investors to tap into the growth potential of the “sustainable transition”, both from financial and sustainability perspectives, according to a statement by the Netherlands-based asset manager.

The Emerging Markets Climate Transition Equities strategy focuses specifically on the transition toward a low-carbon economy, aligning with the goals of the Paris Agreement. The broader Transition Asian Equitiesstrategy also focuses on climate transition, but takes into consideration other environmental and social objectives at the same time.

In addition to the new strategies, Robeco has repositioned two existing fixed income strategies: Transition Emerging Credits strategy (formerly Sustainable Emerging Credits) and the Transition Asian Bonds strategy (formerly Sustainable Asian Bonds) – the latter was announced in April.

Lucian Peppelenbos, climate & biodiversity strategist at Robeco said: “Our expertise in equities and credits, our deep understanding of emerging markets, as well as our sustainability background are key ingredients to drive successful transition investments.”

“With Robeco’s forward looking frameworks, we can identify companies leading the transition and support them with financing. In this way, we foster positive change and ensure that high-emitting companies are a part of the solution. Over time this creates broad-based value, and thus provides alpha opportunities.”

An estimated $125trn is needed to transform global emerging economies to net zero by 2050, according to Robeco. “As the biggest change is taking place in Asia and emerging markets”, Robeco is focusing its strategies on those markets.

Part of the Mark Allen Group.