​PenSam hands €2.6bn equities to Amundi, keeps Nordea for rest [updated]

first_imgDenmark’s PenSam has picked Amundi to manage more than half of its €4.8bn global listed equities portfolio, months after the pension fund announced the entire portfolio would be re-weighted and measured against the MSCI All Country World Index (ACWI) Climate index rather than the original ACWI.Amundi said that under the new mandate from the Danish labour-market pension fund, it will manage over €2.6bn of the fund’s global equities in a separate account, tracking the climate-tilted index while incorporating “client specific customisations”.Claus Jørgensen, PenSam’s CIO, said: “The partnership was a natural fit for PenSam as we see Amundi as a leader within ESG indexing.“The mandate will be key to achieving our key goals of strong returns, integration of climate objectives and low cost,” he added. Asked by IPE about the management of the remaining half of the global equities portfolio, PenSam said this would continue to be handled by Nordea, with the external manager having “more or less” kept its mandate and allocation.PenSam senior portfolio manager Henrik Lorin Rasmussen told IPE that Amundi had taken over the assets from a number of other external managers, but added that it was the pension fund’s policy not to disclose names of firms it had chosen not to use anymore.“We are currently not looking to use other managers than Amundi and Nordea – as we are quite happy with both,” he said, referring to the pension fund’s listed global equities allocation.For its part, Amundi said it was selected for the task based on its expertise in indexing, combined with its “commitment and track record within ESG and climate investing,” adding in the joint announcement that it had been managing tracking strategies and co-developing ESG-focused indices for many years.Fannie Wurtz, head of Amundi ETF, indexing and smart beta, said: “As a pioneer in index managed climate solutions since 2014, Amundi’s size and scale positions us perfectly to deliver best-in-class index management.”The €20bn Danish pension fund announced four months ago that it had switched weightings in its passively-managed listed global equities portfolio to take account of climate factors, by adopting the MSCI climate index for the whole €4.8bn allocation.This article was updated on 8 July to add more information and comment from PenSam on its choice of external managers.Looking for IPE’s latest magazine? Read the digital edition here.last_img read more