Nordea gets $450M sustainability mandate from CalSTRS

Nordea Asset Management, a leading asset manager based in Northern Europe, has secured a significant $450 million global equity investment mandate from the California State Teachers’ Retirement System (CalSTRS), one of the largest public pension funds in the U.S. This new mandate will see Nordea’s Global Stars Equity Strategy manage a portion of CalSTRS’ Sustainability-Focused Equity portfolio. The Global Stars Equity Strategy, part of Nordea’s STARS range, integrates Environmental, Social, and Governance (ESG) factors into all investment decisions. It operates with close coordination between portfolio managers and Nordea’s Responsible Investment Team, ensuring that sustainability is deeply embedded in the investment process. Notably, the STARS equity strategies are aligned with net-zero goals, offering investors a reduction in carbon emissions compared to the benchmark. Currently, the carbon footprint of the STARS strategy is 61% lower than that of the MSCI ACWI benchmark.

Niels Bolmestrand, CEO of Nordea Asset Management, emphasized the company’s long-term focus on sustainable investment. He said: “For more than three decades, we have been successful in developing solutions designed to generate attractive long-term returns while being profitable. The way to deliver in equity returns.CalSTRS has set sustainability goals in recent years, including a commitment by 2021 to achieve a zero-emissions budget by 2050. In addition , by 2022 the fund has committed to halving its greenhouse gas emissions across the portfolio by 2030. The partnership with Nordea Asset Management is a way to achieve these goals. Kirsty Jenkinson, Chief Investment Officer at CalSTRS, expressed her enthusiasm for expanding the relationship with Nordea. “We are pleased to expand our relationship with Nordea’s asset management team. The sustainability-focused approach of Star’s Global Strategy aligns with the fund’s portfolio of investment strategies and management strategies. focus on our commitment to achieve financial neutrality by 2050 or earlier.This strategic partnership represents Nordea’s commitment to CalSTRS. to sustainable investment practices and demonstrates the growing integration of ESG considerations into important investment decisions.

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