Robeco excludes fossil fuels from entire fund range

Robeco exclude investments in thermal coal, oil sands and arctic drilling from all its mutual funds

Robeco has extended the exclusion of fossil fuels to across its entire fund range, further committing to its sustainable investing approach.

The group has announced it will exclude investments in thermal coal, oil sands and arctic drilling from all its mutual funds, while companies that derive more 25% or more of their revenue from thermal coal or oil sands, or 10% or more from Arctic drilling will also be barred from portfolios.

Previously, Robeco excluded thermal coal from most of its sustainable and impact strategies but has now extended this policy to oil sands and arctic drilling across all fuds excluding client-specific funds and mandates but including sub-advised funds. The exclusion prices will be completed by end of 2020.

See also: – Exclusion funds are not sustainable, says Robeco

Victor Verberk, CIO fixed income and sustainability at Robeco, commented: “Investing is not only about creating wealth but also about contributing to wellbeing, and we are fully convinced that if you focus on sustainability, you’re going to be a better asset manager.

“Our move to exclude investments in fossil fuels from our funds is a further step in our efforts to lower the carbon footprint of our investments, transitioning to a lower carbon economy. As global leader in sustainable investing we are committed to the Paris agreement, which aims to limit the rise in global temperatures to well below 2 °C. This will require substantial reductions in global greenhouse gas emissions over the next few decades.”

The group added that engagement with companies is extremely important but with particular companies this will not lead to significant change. Therefore, the team at Robeco prefer to concentrate its efforts on sectors and companies where engagement can be more effective.


Natalie Kenway

Natalie is editor in chief at MA Financial covering ESG Clarity, Portfolio Adviser and International Adviser. She was previously global head of ESG insight for ESG Clarity and has been an investment journalist...