Increasing energy prices, reflected in oil company earnings, are not enough to make investors reopen their treasure troves for fossil companies, says pension provider PenSam. ”It’s a sector with problems,” states ESG head.
by astrid strulason, translated by kristoffer grønbæk
Oil firms represent a large part of companies excluded from financial institutions’ portfolios, and there is no outlook for an alteration of this strategy.
Farmland has performed well in an otherwise horrendous year for risky assets. Institutional investors generally search for uncorrelated return streams, potential green benefits and inflation hedges, and while the asset class ticks these boxes, it also comes with significant risks.
PFA’s real estate department is changing its strategy in expectation of more interest rate increases and recession, says the head of Nordic real estate, while three projects are being paused as ”it didn’t make sense to keep going.”
New opportunities to allocate more to riskier assets mean changes are being made at ATP. A restructuring of the central IT system has been the toughest nut to crack in the restructuring, which has been described as the most comprehensive change in the pension giant’s 60-year history.