Storebrand, Norway’s largest private asset manager, has entered the UK market with the launch of three sustainable investment strategies.
The house runs £64 billion in assets under management and may be best known to UK investors for its Skagen brand.
Managing director of Skagen Funds UK Tim Heffer said: ‘Storebrand has a long history of combining sustainability with innovation and we are delighted to be distributing their successful investment strategies in the UK.’
The launches include the Storebrand Global Multifactor fund, which combines sustainability with four equally-weighted risk factors; value, size, momentum and low volatility.
Launched in November 2013 and managed by Andreas Poole, the fund invests in 300 to 400 large and mid-cap developed market stocks to create a sector and geography-neutral portfolio.
The fund has returned 38.2% in US dollar terms over the three years to the end of February versus a peer average of 31.4%.
At the end of December, the fund had £1.7 billion in assets under management.
The company has also launched Storebrand Global Solutions fund into the UK, an actively managed global equity fund targeting sustainable companies.
Managed by Citywire AA-rated Philip Ripman the strategy is fossil-fuel free and seeks to generate alpha by identifying businesses from developed and emerging markets which provide solutions to help achieve the UN’s Sustainable Development Goals.
Over the three years to the end of February, it has returned 53.4% in dollar terms. This compares to a 31.4% rise by the average fund in the global sector.
Launched in October 2012, Storebrand Global Solutions had £242 million under management at the end of January.
The final fund launch is the Storebrand Global ESG Plus. It tracks the MSCI World index but selects developed market companies which score highly on Storebrand’s sustainability rating system.
The investment team avoid scompanies which rank poorly, extract fossil fuels or are carbon intensive.
Storebrand Global ESG Plus is managed by Henrik Wold Nilsen and has £308 million under management. It has delivered a 5% return in sterling terms between launch in April 2017 to the end of January. This is in line with the MSCI World Index.