Cbus Super, Australia's leading building and construction industry super fund, announces a new $240 million mandate with Impax Asset Management, that focuses on investing in opportunities arising from the transition to a more sustainable global economy and the safeguarding of member savings from climate related risks.
This mandate will contribute to the Fund's Climate Change Roadmap commitment to portfolio wide net zero emissions by 2050 and an important interim target of 45% absolute reduction in carbon emissions by 2030.
Focused on climate mitigation and adaptation, the mandate will be managed using the Impax Climate Strategy, a global equities strategy investing in companies providing solutions to the challenges around climate change. Impax is a well-established UK based manager, a specialist provider of environmentally focused investment strategies. This mandate sits within Cbus' Climate Change Solutions allocation.
James Crawford, Cbus' Head of Equity Portfolio Construction, said, "The mandate is clearly aligned with the Cbus Climate Change Roadmap, this investment supports both our need to invest in solutions and our commitment of a 45% reduction in absolute carbon emissions by 2030. It demonstrates our commitment to making great financial returns for our members and investing sustainably.
"The Impax Climate Strategy seeks to invest globally in listed companies with demonstrable exposure to products and services enabling mitigation of climate change. All portfolio companies are aligned with the Paris Agreement and are positioned to provide significant net CO2 savings. The strategy to invest in companies that will help provide solutions as well as investing in companies that will adapt to climate change has a clear link to Cbus' goal to safeguard member savings from climate related risks."
Jon Forster, Senior Portfolio Manager, Impax Asset Management, said: "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. We look forward to partnering with Cbus, building on our experience investing in environmental markets."
The Cbus Climate Roadmap is publicly reported on each year in the Cbus Annual Integrated Report and Responsible Investment supplement.
