social investment

Investor interest in institutional asset classes that are environmental, social and governance (ESG) appropriate is set to increase rapidly, which will help ESG assets under management around the world expand 84% by 2026, according to a new report from PwC.

The environmental, social and governance (ESG) transparency initiative being undertaken by a leading group of Swiss-based insurance-linked securities (ILS) investment fund managers, has the potential to drive the desired change investors such as the Bank für Kirche und Caritas have been looking for, according to Tommy Piemonte.

Artemis has learned that a group of Switzerland-based insurance-linked securities (ILS) investment fund managers have been collaborating to develop a data transparency proposal to help enhance environmental, social and governance (ESG) in the ILS market.

Investment funds in the private capital markets sector increasingly need to be seen to be quickly moving towards, or having already implemented, a rigorous environmental, social and governance (ESG) policy, or they could risk falling outside of many institutional investor’s consideration.

Schroders, the global asset manager with a specialist insurance-linked securities (ILS) investment management business, has updated the investment strategy and policy of its flagship UCITS catastrophe bond fund, the Schroder GAIA Cat Bond, to incorporate specific ESG and sustainability features.

Environmental, social and governance (ESG) issues and the ESG appropriateness of investments, emerged as a “major consideration” for both insurance-linked securities (ILS) sponsors and investors during 2021, according to reinsurance broker Gallagher Re.

For the fourth year in a row, Zurich based specialist catastrophe bond and ILS investment manager Plenum Investments has been accredited with the sustainability FNG Label by the German “Forum Nachhaltige Geldanlagen e.V.” (FNG) for its cat bond focused strategy.

A core reason that insurance-linked securities (ILS), such as catastrophe bonds and other reinsurance linked investments, are considered as socially responsible investments by many allocators is the fact they deploy their capital into natural disaster recovery and rebuilding.

Parhelion, an energy and climate risk finance focused company specialising in non-traditional risk issues, is targeting a capital raise of $500 million as it seeks to become a “sustainable insurer” focused on ESG aligned underwriting and investment.

As responsible and sustainable investing continues to gain traction, the insurance-linked securities (ILS) asset class is expected to play an increasing role, but it’s important that the sector tells its own environmental, social and governance (ESG) story.