Foto cedidaStefano Caleffi, New Head of ETF Sales for Southern Europe at HSBC Global AM . Stefano Caleffi, New Head of ETF Sales for Southern Europe at HSBC Global AM
HSBC Global Asset Management has expanded its ETF sales team with the appointment of Stefano Caleffi as Head of ETF Sales for Southern Europe, a newly created role.
Based in Milan, he will be responsible for driving HSBC Global AM’s ETF sales and business development efforts across Italy, Spain and Portugal. Caleffi will report to Olga de Tapia, Global Head of ETF Sales.
The asset manager announced in a press release that this appointment follows the ones of Phillip Knueppel as Head of ETF Sales for Austria, Germany and Switzerland and Marc Hall as Head of ETF Sales for Switzerland.
De Tapia commented that Caleffi’s appointment is another milestone in their plans to grow their ETF business in Europe. “His extensive client-facing and ETF industry experience make him the perfect candidate to drive our sales effort in Italy, Spain and Portugal”, she added.
Caleffi has over 15 years’ experience in the investment management industry. Most recently, he was Head of ETF Business Development Italy, Iberia and Israel at Invesco. Prior to that, he was responsible for Southern Europe distribution at Source. Before joining Source, he worked in the equities division of Credit Suisse First Boston.
Calvert Research and Management, a subsidiary of Eaton Vance, announced the launch of the Calvert Institute for Responsible Investing, an affiliated research institute dedicated to driving positive change by advancing understanding and promoting best practices in responsible investing.
Initially launched in North America, asset owners and investors in Europe and Asia will now have access to Calvert Institute’s work by connection to its online hub hosting its latest research as well as dedicated client events and webinars. “Through research, education and collective action, the Calvert Institute seeks to direct the power of the financial markets increasingly to addressing the leading global challenges of our time, including environmental degradation, climate change, racial inequality and social injustice”, said the firm in a press release.
As a complement to its internal research and education programs, the institute will partner with academic organizations, industry groups and other like-minded investors to create and sponsor third-party research focusedon environmental, social and governance (ESG) issues of concern to responsible investors.
“For many years, Calvert has been a global leader in responsible investing and a catalyst for positive change through our research and engagement efforts. By creating the Calvert Institute, we broaden the scope of our mission and programs in support of responsible investors and society as a whole”, commented John Streur, President and Chief Executive Officer.
Meanwhile, Anne Matusewicz, a director of the Calvert Institute, said that they are “thrilled” to have this opportunity to contribute to the further development of responsible investing. “We want to help investors understand the role they can play in promoting positive change. Examining race and injustice, climate change and other critical issues will allow us to amplify voices that challenge the status quo based on research results and educate individuals and institutions at various stages of their responsible investment journey”, she added.
The Calvert Institute will continue Calvert’s well-established practice of working with leading academic professionals and supporting innovative research done at academic institutions, governance organizations and specialist research firms. Current research projects include exploring and assessing forms of corporate governance, human capital management, inequality and the financial materiality of gender and racial diversity, ESG integration, public finance, sustainable practices and the global energy transition.
“The Big Picture Series”, Jupiter Asset Management. “The Big Picture Series”, Jupiter Asset Management
Jupiter Asset Management is organizing its first virtual event, “The Big Picture Series” for September, October and November, during which the management company will be bringing together experts from various investment disciplines to discuss current financial issues.
At the opening of the event, the first conference was delivered by Andrew Formica, the company’s CEO, who reflected on the unprecedented scale of globally disruptive effects of the pandemic and spoke of his belief in “the power of active minds” to meet the challenges of the currently irrational markets.
Afterwards, Richard Buxton, Head of the UK Alpha strategy and former CEO of Merian Global Investors, and Edward Bonham Carter, Vice Chairman of Jupiter Asset Management, spoke about the process of unifying both firms and the possible headwinds in the markets: the US presidential elections, the failure to reach an a Brexit agreement and the implications of the coronavirus crisis.
Then, on the panel discussion, Katharine Dryer, Deputy Chief Investment Officer, moderated a discussion that addressed inflation in a world that is still emerging from the pandemic. The panel included Ariel Bezalel, fund manager and Head of strategy for the fixed income team at Jupiter AM, Mark Richards, strategist with the Multi Asset team, Chi Kit Chai, Head of capital markets and CIO at Ping An Asset Management (Hong Kong), and Ned Naylor-Leyland, fund manager and Head of the Gold & Silver team.
In response to the crisis caused by the pandemic, central banks and governments have taken a major policy shift with a new wave of accommodative measures. As markets adapt to these new conditions, the debate centers on whether an inflationary or deflationary environment will occur. Beginning the round of responses, Ariel Bezalel, reviewed the evolution of inflation in the last decades, and argued that, in his opinion, what we are facing is structural deflation.
“In the 1980s, central banks, led by the efforts of Paul Volcker as Chairman of the U.S. Federal Reserve, focused their efforts on fighting inflation. Then, the decade of the 90s was marked by a period of moderate inflation. While, at present, deflation or disinflation seems to be gradually enveloping the world. In reality, it is really a growing concern for the major central banks. Over the last decade, we have been experiencing a deflationary environment that has been expressed in our portfolios with a high weighting of medium and long duration securities issued by some of the AAA rated sovereign issuers,” explained the manager.
“In the Euro zone, 60% of the economies are experiencing deflation. On average, if you look at the situation in developed economies, inflation is close to 0%. While in emerging markets, where traditionally higher inflation levels have been experienced, inflation levels have been seen to decrease, reaching an average of 2%, year-on-year,” he added.
According to Ariel Bezalel, most of the arguments on deflation are grounded on worldwide labor price. In a world with a massive increase in debt, an aging population, and enormous disruption by technology and globalization, the incorporation of cheaper labor from emerging economies into the global economy has been key to increasing deflationary pressures.
Another factor that has also been seen over the last few decades is how capital has gained an increasing share of the pie in the face of the bargaining power of the workforce. Since the pandemic began, some of these trends have accelerated – in particular the creation of more debt to try to rescue the global economy. But, for Bezalel, the concern is not so much the increase in debt as the utility of the debt. The manager pointed out that, during this year, a large part of the increase in fiscal deficits has been dedicated to rescuing the corporate sector and supporting people who have lost their jobs; unproductive debt that has not led to progress in infrastructure investment.
Mark Richards, on the other hand, maintained a slightly different vision, with a slightly more inflationary scenario. The strategist of the Jupiter AM Multi Asset team argues that some of the structural forces of recent decades have set a trend, but that for the first time in the last 30 or 40 years one can see a coherent narrative on inflation based on a greater tendency of economies to deglobalization.
In the late 1990s and early 2000s, the impact of China’s entry into the global economic scene increased the world’s labor supply. Today, however, we are witnessing a reverse process, which is reflected in the strained trade relations between the United States and China. The way in which the post-VIDC era is moving towards a de-globalization of the economy would explain a possible increase in inflation. More money must be spent on redirecting supply chains, representing a greater cost to the system.
Furthermore, it should be taken into account that, at the global level, monetary policies are giving way to fiscal policies. During the last decade, the monetary policy of the main central banks has been expansive. At present, both fiscal and monetary policies are moving in the same direction after a very long time. According to Richards, the main difference in the response of the authorities to this crisis as compared to previous ones is that the liquidity that is flowing in the system is going to those areas which are less prone to consumption, so the argument of the speed of money is beginning to be more convincing.
Central banks are abandoning inflation targets set 30 or 40 years ago, admitting that they are not capable of modeling inflation. Instead of projecting inflation into the future, central banks decide to wait and keep interest rates close to zero for longer. This angle on monetary policy together with expectations, are the elements by which Richards defends an inflationary economic scenario.
According to Chi Kit Chai, however, there are two opposing forces at play. On the one hand, there are the loosening monetary and fiscal policies that have been implemented to counteract the effect of the pandemic. On the other hand, there is also the process of deglobalization that the economy is undergoing.
In recent decades, globalization has kept the prices of tradable goods low and has also represented a source of cheap labor. At this time, with tensions created by the US and China, there could also be a disruption in supply chains, and a potential relocation of these, contributing to inflationary pressure. In addition, the Fed has recently signaled its intention to tolerate higher price levels by modifying its inflation target.
In Chi Kit Chai’s opinion, there is an argument that we may be at the end of a secular disinflationary cycle spanning several decades, but there are also deflationary pressures exerted by the pandemic and the economic recession. At this time, it is not known if the pandemic is under control, if further waves will occur, or if the vaccine will arrive soon. Therefore, uncertainty in the markets is high. Deflationary forces remain strong because, although governments have acted against the loss of revenue from the most affected sectors, consumer spending has not recovered.
The near-zero interest rate environment also has implications for financial markets. According to Chi Kit Chai, we are in a high volatility and low yield environment in which debt has lost its traditional role of generating income and diversifying portfolios.
The negative correlation between equities and bonds breaks down when interest rates approach zero. Consequently, the risk/reward profile becomes asymmetrical: while the upside is limited, the downside can be significant if interest rates rise. This creates many challenges for investors, so they should not only take into account inflation, but this whole environment of near-zero interest rates.
In a similar vein, Ned Naylor-Leyland pointed out that, from his perspective, the market is exposed to both inflationary and deflationary pressures and that both will persist over time.According to the head of the Gold & Silver team, deflation exists in the monetary sphere. It is the result of some 40 years of accommodating monetary policies that have, in turn, created structural problems in the financial markets, and more specifically in the corporate debt market, where there is an excess supply that will not disappear soon.
But, Naylor-Leyland also challenges the perception that the cost of living has not increased. Evidence of inflationary trends can be seen in food prices, especially since the pandemic began.
“Inflation used to be a measure of the cost of living and the ability to maintain a constant standard of living. But adjustments to official inflation measures means that at a consumer level inflation has been rising in an uncontrolled fashion, unrecognized by policy makers, and that has contributed to the rise of populism,” he said.
From a conventional market point of view, said Naylor-Leyland, there are individual asset classes from which returns can be achieved, regardless of the type of inflation environment. For the manager, returns can be generated on an individual asset class by taking virtually opposite positions depending on the area the investor is focusing on.
Foto cedidaMichael D'Arcy, new CEO of the Irish Association of Investment Managers (IAIM) . Irish Association of Investment Managers appoints Michael D’Arcy as New CEO
The Irish Association of Investment Managers (IAIM) has announced in a press release the appointment of former Minister of State with Responsibility for Financial Services Michael D’Arcy as its new CEO. He will work closely with IAIM Chairman, John Corrigan, on the development of the IAIM strategic plan in the context of the challenges and opportunities facing the investment management industry.
The IAIM stated that in his role as CEO, D’Arcy will be responsible for re-setting the IAIM agenda and priorities, given the changing landscape post-Brexit. His role will entail growing the presence of IAIM and the voice of investment managers in the context of the broader domestic financial service sector and helping to promote Ireland worldwide as a pre-eminent destination for investment management firms.
He will also be responsible for leading the contribution of the IAIM around key areas, such as sustainable finance and ESG, collaborating with the other key local and international stakeholders.
Corrigan said that they are “delighted” with D’Arcy’s appointment and pointed out that the industry is growing exponentially in Ireland, a trend they expect to continue. “This is our first step in onboarding the necessary expertise and competencies to face the challenge”.
“Ireland is one of the world’s leading centers for investment management, and the industry is uniquely positioned to play an integral role in the economic and social recovery post-COVID-19. However, we need to ensure that the regulation, policies and joined-up industry thinking in Ireland support this growth”, he added.
In his view, we are moving into “unchartered waters” in a post-Brexit environment, both domestically and internationally, and Ireland has “a once in a generation opportunity to make real changes and be at the very heart of new initiatives” such as ESG and sustainable financing.
Meanwhile, D’Arcy believes that crucially now there is a “huge opportunity” for Ireland, as the UK exits the EU, to help shape the future agenda of not just investment managers and firms where these is considerable growth potential, but even more broadly for the funds industry as a whole and become a global center for the industry.
“In that regard Ireland will need to continue to develop its skills base, and the promotion of education and training will be key in equipping students with the required skillsets, as will be the need to create a greater awareness among graduates and school leavers of the industry’s diverse employment opportunities. In my role as CEO, a vital goal will be in helping to make Ireland the premier destination for the advancement of sustainable and Green finance, and to form strong links and grow our relationships abroad”, he said.
Half of the top ten global investment managers have operations in IAIM, with its members and associate companies in Ireland managing over €1 trillion in assets.
Hamish Chamberlayne, director de renta variable sostenible global en Janus Henderson Investors. Hamish Chamberlayne, director de renta variable sostenible global en Janus Henderson Investors
Focusing on sustainable investment and ESG factors, Janus Henderson Investors held its “Invested in Connecting” virtual forum, a three-day event designed to connect clients with sales teams and investment managers on a single platform, sharing ideas, perspectives and knowledge through live presentations and discussions on market issues and perspectives.
The event began with a welcome speech by Ignacio de la Maza, Head of EMEA Intermediary and Latam, who explained that during the sessions, emphasis would be placed on how managers perceive ESG factors and how they incorporate them into their strategies.
On the first day, the focus was on equities, with Alex Crooke, Co-Head of Equities for the EMEA and Asia Pacific regions, delivering a presentation on the prospects for the asset class and the three issues to be considered in the future. The first is a possible reflationary scenario in which central bank and government intervention to rescue the economy produces inflation. The second topic would be a process of stock issues or “re-equitization”. There is concern among company directors that they have incurred in over-leveraging to overcome the crisis. It is expected that once this debt matures, they will opt to issue more shares, something that could lead to a decrease in the return on equity, but which could also translate into better P/E ratios. Finally, the British equity market is discounting the fact that there will be no Brexit deal at the end of the year and some good companies are trading at attractive valuations.
The debate with the Global Technology team:
Alison Porter, Graeme Clark and Richard Clode, portfolio managers with the Global Technology team, then discussed the fundamentals that have enabled the technology sector to outperform the rest of the market over the past decade. The team argued that the valuations are still explained by the robustness of their balance sheets, after a crisis that has particularly benefited the sector.
“There are fundamental differences between the current situation and the 2001 technology bubble that should give investors some peace of mind. Firstly, in the last five years, the technology sector’s increased performance has not been as extreme as it was then. In the period before the technology bubble burst, we saw compound annual returns of over 43%, while in this period we have seen less than half.
Secondly, in the area of stock market listings, since January 2018, some 36 companies have been listed on the stock exchange, a figure which in the two years prior to the bursting of the technology bubble exceeded 230 companies, indicating that we are in a more rational environment. In addition, the leaders of today’s technology companies are more future-oriented; these companies have become platforms that benefit from the network effect they have created. Now 40% of the technology sector is related to software and obtains recurring profits, a percentage that was only 20% in 2001, this allows these companies to obtain higher margins and structural returns,” commented Alison Porter.
“Finally, on the subject of valuations, interest rates are currently about 600 basis points higher than they were in the year 2000. We tend to say that technology adoption and inflation are inversely correlated, because the adoption of a new technology generates price transparency and is cheaper, faster and allows for better results. The current environment of low interest rates favors high valuations. In terms of profits, shares used to trade with a 53x premium over the rest of the market, while currently they trade with a 20x premium. In terms of free cash flow, shares used to trade at a premium of 118x and now trade at a premium of 31x. But that does not mean that there are not certain areas of concern in terms of valuation, we know that 30% of the sector is not generating profits and that is similar to what happened in the 2000s,” she added.
The importance of ESG factors in the current global environment:
Hamish Chamberlayne, Head of Global Sustainable Equities team and portfolio manager of the Global Sustainable Equity strategy, Andy Acker, portfolio manager of the Global Life Sciences and Biotechnology strategies, Denny Fish, portfolio manager of the Global Technology and Innovation strategy, and Guy Barnard, portfolio manager of the Global Property Equities strategy, then discussed the changes in their respective funds’ investment universe following the pandemic crisis, the acceleration of existing trends, and the growing role of sustainable investment.
“In recent years, the trend towards the digitalization of the economy has had a strong influence on the global context, both on the consumers as well as on the companies. But, during the pandemic, perhaps the degree of consumer penetration has been accelerated, not only in the younger generations, such as Generation Z, which consumes mainly online, but for all cohorts of generations, including the older ones, who now find in the Internet the way to make their purchases and payments,” explained Denny Fish.
“While, on the corporate side, the pandemic has highlighted the importance of digitizing all processes within an organization. As well as the importance of creating virtual infrastructures for their workers,” he added.
Meanwhile, Andy Acker, argued that the defensive characteristics of the health care sector mitigated the impact of the coronavirus crisis on his portfolio. “Investor demand for the healthcare sector tends to increase in market downturns, in the last downturns over 15%, the sector only experienced half of the drop. We have also seen areas of higher returns, such as in telemedicine and sectors on the frontline of the fight against the pandemic,” he mentioned.
Hamish Chamberlayne also discussed how this year, along with technology and the health sector, investment in ESG factors is also benefiting from strong secular trends. “The goal of the Global Sustainable Equity strategy is to build a highly differentiated portfolio with a multi-thematic focus on sources that contribute to performance. While both the technology sector and the health sector contribute positively to the portfolio, there are also other areas that have contributed to performance. Among them, two areas that I would like to point out are companies that are aligned with sustainable modes of transport and a healthier way of life, and companies related to the green economy, renewable energies and electrical infrastructure,” he said.
“Just to mention a few examples, Tesla has had a good year and there is a high degree of enthusiasm about the pace of innovation it has achieved in the automotive sector. On the other hand, Shimano, a leading supplier of bicycle powertrain technology, has benefited from increased demand for alternatives to public transportation and the increased desire for more exercise among consumers in the wake of the pandemic.
On the green economy side, we expect to see an increase in electricity use from the current 20% to 50% of the energy mix in the next decade. As a result, there has been an increase in investment in this area, an excellent example is the European recovery plan, which places the green economy and renewable energy at the center of its stimulus package,” he completed.
Pixabay CC0 Public Domain. Amundi lanza un nuevo ETF de renta variable libre de combustibles fósiles con exposición a los mercados emergentes asiáticos
Amundi and the Asian Infrastructure Investment Bank (AIIB) have launched a new Climate Change Investment Framework. As announced by both firms in a press release, this benchmark investor tool will for the first time holistically assess climate change risks and opportunities in line with the three objectives of the Paris Agreement at the issuer-level.
Endorsed by Climate Bonds Initiative, a major international certifier and industry thought leader in the green and climate bond market, the framework translates the three key objectives of the Paris Agreement into fundamental metrics, equipping investors with a new tool to assess an issuer’s level of alignment with climate change mitigation, adaptation and low-carbon transition objectives.
While groups of leading institutional investors have responded to the climate challenge by integrating climate change into investment processes, AIIB and Amundi highlighted that this tool takes a holistic approach that current private capital mobilization efforts lack.
“Equity capital markets currently focus on thematic funds and commonly face strong sector bias, while low-carbon indexes have a pronounced focus on mitigation efforts. In fixed income, green bonds have been the main climate finance solution for debt capital markets, but they do not consider exposure to climate investment risks and opportunities from the viewpoint of an issuer’s entire balance sheet”, they stated in the press release.
Extra financial impact
Investors can expect portfolios aligned with this framework to deliver a potential financial impact by benefiting from any future repricing of climate change risks and opportunities in the capital market. It also enables them to measure issuer performance against the three objectives of the Paris Agreement, which allows investors to systematically include in their investment portfolio A list issuers (those that are already performing well on all three objectives) and B list issuers (those that are moving in the right direction but are not in the A list yet). An investment strategy targeting both A and B List issuers should be more resilient to climate change risk and more exposed to opportunities not yet priced in by the market.
In addition, they pointed out that the framework also delivers extra financial impact as it is designed to encourage the integration of climate change risks and opportunities into business practices by targeting the engagement of so-called “B-List” issuers to help them transition to “A-List” credentials.
Yves Perrier, CEO of Amundi, said they are proud to launch this tool with AIIB as they continue to make strides in the field of climate finance. “Mobilizing key stakeholders in supporting the Paris Agreement in Asia is in line with Amundi’s commitment to ESG investing and reflects our extensive commitment to the region. This new Framework will further help the investment community address climate change through the mobilization of capital to emerging markets where it is much needed”.
Jin Liqun, AIIB President and Chair of the Board of Directors, commented at the Climate Bonds Initiative international conference that in launching this framework they show their “commitment to playing an important role in the battle against climate change, by contributing to strengthening market capacity and driving the green agenda in Asia”.
Foto cedidaEric Varvel, Global Head of Asset Management and Chairman of the Investment Bank at Credit Suisse. Credit Suisse AM and Qatar Investment Authority Partner to Create a Private Credit Platform
Credit Suisse Asset Management and the Qatar Investment Authority (QIA) announced a strategic partnership to form a multibillion dollar direct private credit platform. As they stated in a press release, it will provide financing primarily in the form of secured first and second lien loans to upper middle-market and larger companies in the US and Europe.
The platform is part of Credit Suisse Asset Management’s Credit Investments Group (CIG), which is led by Global Head and Chief Investment Officer, John Popp. The CIG team is one of the largest providers of leveraged finance solutions in the industry, with approximately USD 60 billion in non-investment grade credit positions. For more than 20 years through various market cycles, CIG has maintained a disciplined approach and demonstrated leading experience in sourcing and servicing credit relationships, highlights the press release.
Eric Varvel, Global Head of Asset Management and Chairman of the Investment Bank at Credit Suisse, believes this strategic partnership with QIA presents “unique opportunities” for borrowers seeking credit solutions to partner with their Asset Management and Investment Bank franchises. “The Credit Investments Group, within Credit Suisse Asset Management, has extensive industry and lending relationships that, when combined with Credit Suisse’s unmatched leveraged finance and financial sponsors franchises, uniquely positions us to provide capital and liquidity to the private credit market”, he added.
Meanwhile, Mansoor Al Mahmoud, CEO of QIA said they see “significant potential” in the growing private credit market and they are “excited” to work again with Credit Suisse. “This strategic partnership, with one of the foremost leaders in asset management, is aligned with QIA’s objectives as a long-term diversified investor across asset classes both in the US and globally”, he stated.
He believes this private credit platform is a natural extension of their business as a leading provider of capital solutions to non-investment grade companies in the US and Western Europe. “The current market environment presents an ideal entry point into the private credit space, with capital and liquidity now at a premium”.
Foto cedidaPIMCO, miembro del Consejo Asesor Global de PIMCO.. PIMCO incorpora a Michèle Flournoy a su Consejo Asesor Global
PIMCO announced in a press release that Mark Carney, economist and former Governor of both the Bank of England and the Bank of Canada, will join its Global Advisory Board. The Board provides PIMCO investment professionals with insights on global economic, political, and strategic developments and their relevance for financial markets.
Established over four years ago, it is “an important part of the firm’s investment process and is designed to provide a deeper understanding of the policies and institutions that influence financial markets”, says the document. Former Federal Reserve Chairman Ben Bernanke is the Chair of the Board, which is comprised of seven members including Carney.
“Mark’s extensive experience as an economist and central banker, combined with his focus on transforming climate finance, makes him an invaluable addition to this renowned group of thinkers,” said Emmanuel Roman, PIMCO’s Chief Executive Officer.
Meanwhile, Dan Ivascyn, Group Chief Investment Officer, pointed out that the Board “continues to be an important part of our investment process, providing unique global insight, and challenging our bias and assumptions, as we pursue the best investment outcomes for our clients around the world”.
Carney is currently UNSpecial Envoy on Climate Action and Finance. From 2013 to March 2020, he served as the Governor of the Bank of England and Chair of the Monetary Policy Committee, Financial Policy Committee and the Board of the Prudential Regulation Committee. In addition, he served as Chair of the Financial Stability Board (FSB) from 2011 to 2018, and First Vice-Chair of the European Systemic Risk Board. He was Governor of the Bank of Canada from 2008 to 2013.
Other members of the PIMCO Global Advisory Board are Gordon Brown, former U.K. Prime Minister and former Chancellor of the Exchequer; Ng Kok Song, former CIO of the Government of Singapore Investment Corporation (GIC); Anne-Marie Slaughter, former Director of Policy Planning for the U.S. State Department; Joshua Bolten, former White House Chief of Staff; and Jean-Claude Trichet, former President of the European Central Bank.
Foto cedida. UBS WM nombra a Anja Heuby-Egli responsable del área de soluciones de inversión sostenible
UBS Wealth Management has appointed Anja Heuby-Egli to lead a newly-created sustainable investment solutions function, reported Citywire Selector. She will be responsible for sustainable investing solutions at global wealth management, including general advisory, discretionary and advisory mandates, funds and alternatives.
According to an internal memo referred to by the publication, Heuby-Egli will join UBS chief investment office’s global mandates and investment content team (CIO GMIC) and will report directly to its head, Bruno Marxer. She will also become a member of the unit’s management committee.
Within global wealth management, her role only covers the CIO’s global mandates and investment content function. Andrew Lee will remain head of sustainable and impact investing for its other investment functions, which are known internally as the CIO investment office (IO), informed Citywire Selector. That unit is responsible for investment frameworks, for example asset allocation, methodologies and associated research and thought leadership.
Meanwhile, global mandates and investment content team is in charge of investment products, including those implementing investment views of the IO. When it comes to the 100% sustainable portfolios, Lee will continue to oversee the portfolio framework and methodology and any thought leadership associated with that.
Heuby-Egli’s team will work on the implementation of that framework in products, in collaboration with other content teams. Her primary focus will be EMEA, APAC, and Switzerland, and she will also collaborate with the Americas sustainable investing solutions team.
Experience in sustainable investment
Heuby-Egli started at UBS in 2005 and has worked in the investment bank, group functions, and global wealth management, primarily in the area of risk and investment process methodology. She was in charge of CIO’s data innovation and also worked with the CIO sustainable investment team, where she and her team developed the proprietary ESG scoring platform at the core of the firm’s personalised sustainable investment advice offering. Her new role will be covering wealth management activities, opposite to those of the whole UBS group.
Pixabay CC0 Public Domain. Santander CIB launches ESG Solutions global team headed by Steffen Kram
Santander Corporate & Investment Banking (Santander CIB) announced in a press release the creation of a dedicated team to boost its offering in the area of Environmental, Social and Governance (ESG) solutions. This new global team will be headed by Steffen Kram. It will partner with product teams across its platform to support clients in their transition towards a more sustainable business model by providing strategic solutions as well as product and financing structures tailored to specific industries, geographies and market sectors.
Santander’s goal is to build a more responsible bank and has made a number of commitments to support this objective including raising over 120 billion euros in green finance between 2019 and 2025. This figure will increase to 220 billion euros in 2030 and includes the Group´s overall contribution to green finance: project finance, syndicated loans, green bonds, capital and export finance, advisory and other products.
In the most recent Dow Jones Sustainability Index Santander achieved the highest ranking among all banks.
José M. Linares, SEVP and Global Head of Santander CIB, said that the creation of this team further reinforces their contribution to the group’s responsible banking commitments to support inclusive and sustainable growth. “We want to back our clients in their ESG transformation journey, helping them define and achieve their global sustainability objectives”, he added.
Kram, new Global Head of ESG Solutions, commented this new team will build on Santander’s global footprint and its commitment to climate and environmental sustainability. “We are a global leader in renewable energy financing and advisory. Our aim is to expand and transfer this expertise into other sectors and technologies crucial in the context of the energy transition”, he pointed out.
Leveraging on a solid track record in renewables and strong product capabilities across its platform, Santander CIB is now evolving towards fully integrated ESG solutions, serving an increasing appetite and demand from corporate and institutional clients. Being a leader in the area of sustainability has been a long-standing ambition for Santander CIB.
