Myer Foundation partners with French giant Natixis for Australian ESG fund
French asset management giant Natixis is launching its sustainable investment equities strategy in Australia through a partnership with The Myer Foundation.
Natixis, the French asset management giant with more than $US900bn in assets under management globally, is launching its sustainable-investment equities strategy in the Australian market through a partnership with The Myer Foundation.
The Natixis Global Sustainable Equity Fund, which invests in businesses engaged in activities with sustainable investment themes and is managed by Natixis affiliate Mirova, will be available to Australian wholesale investors following an initial investment in the fund by The Myer Foundation.
“Natixis Investment Managers and Mirova have been at the forefront of responsible and sustainable investment for over 20 years. However, the pandemic has proven to be a major turning point for ESG (environmental, social and corporate governance) investing and has been hailed by many as a sustainability as well as a health crisis,’’ Mirova CEO and CIO Jens Peers said.
“It’s only through directing significant capital towards sustainable initiatives that we will make real change happen, and it’s heartening to see more and more Australian investors like The Myer Foundation making this commitment by choosing responsible investments.”
Jennifer Anderson, the London-based global co-head of sustainable investment and ESG at Lazard Asset Management, said recently the pandemic had provided an opportunity to see how companies were reacting to a sudden and dramatic test of their business models and how they were weighing the interests of different stakeholders.
In March, the Myer Foundation commissioned Mercer to help implement a substantial restructure of its investment portfolio and fast-track progress towards The Foundation’s goal of achieving 100 per cent ESG investment by November 2022, which it set in November last year.
Over the past year, The Foundation’s ESG-aligned investments have nearly doubled to represent almost the whole portfolio. Mercer last week released research showing the best sustainable investment strategies in Australian equities delivered an annual return of up to 10.4 per cent over the past three years to June 2020, compared to a 5.2 per cent return from the ASX300 and a 5.3 per cent return from the median actively managed Australian equities fund in the same period.
The immediate past president of The Myer Foundation, Martyn Myer, who stepped down in November after 11 years in the role and spearheaded its commitment to 100 per cent sustainable investing, welcomed the partnership.
He said The Foundation’s work with Mercer showed investors could restructure their portfolios to achieve genuine social and environmental good and superior financial performance.
“In 2020, The Myer Foundation undertook a significant portfolio restructure to fast-track our goal to achieve 100 per cent ESG-aligned investments by 2022. Our focus was on identifying high-quality, like-minded investors with whom we can forge long-term partnerships,’’ he said.
“Mirova was a perfect fit: long-term performance and investments that are contributing to making the world a better place. The Myer Foundation’s portfolio is now rapidly approaching our 100 per cent ESG goal, two years ahead of schedule. It is our hope that others will make the same commitment to sustainability through their investments.”
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