As investors, we are aware that our impact on the environment and society manifests itself first and foremost through our investment decisions. The choices we make in allocating funds and constructing portfolios allow investors like us to be a powerful engine behind a just transition towards a greener, fairer and more sustainable economy.
ESG strategies are becoming increasingly popular across the industry. The lack of an agreed-upon sustainability taxonomy and of a well-defined ESG regulatory framework however imply a significant risk of “green washing” and/or of “tick the box” approaches.
We instead favour a simple and fully transparent approach, when it comes to our investment decisions.
Net Zero AUM Commitment
Algebris Investments became a signatory to the Net Zero Asset Managers Initiative (NZAM) in 2021. As part of this commitment, we set an initial target of 57% of total AUM (79% of AUM excluding discretionary mandates) to be managed in line with attaining net zero emissions by 2050 or sooner. This target will be reviewed at least every 5 years with a view to reach 100%.
To read Algebris Net Zero AUM Commitment full document, please click here.
ESG and Responsible Investment Policy
This policy outlines Algebris’ approach to Responsible Investment across our strategies, as well as the integration of Environment, Social and Governance (ESG) factors within the Firm’s ethos, culture, business operations, and corporate social responsibility.
To read the Algebris ESG and Responsible Investment Policy full document, please click here.
ESG Exclusion Lists
Across our liquid funds, we incorporate clear exclusion policies on Thermal Coal, Controversial Weapons, Tobacco and Predatory Lending.
As specialist investors in the financial sector, and given our focus on G-SIFIs, we recognise we have an invaluable chance to make an impact on the flow of capital away from economic activities that are harmful to the planet and society. We consider banks to be the ‘gatekeepers’ of the transition towards a greener and more sustainable economy, due to the key role that the banking and broader financial sector play in providing funding to economic activities.
Our ESG exclusion policies reflect this conviction, by featuring the addition of a ‘financing overlay’, focusing on the funding chain of those controversial activities.
To read the Algebris ESG Exclusion Policies full document, please click here.
To access the Exclusion lists for Article 8 Net Zero aligned funds, please click here.
To access the Exclusion lists for Article 9 Net Zero aligned funds, please click here.
To access the Exclusion lists for other funds, please click here.