Sustainable Investments & Sustainable Funds

Sustainable Investments

Sustainable investments are about investing to create good long-term returns while contributing to a more sustainable future. This type of investment mainly focuses on improving the environment, social aspects, and corporate governance. A driving force behind this type of investment is a number of global goals that have been set, e.g. The UN’s 17 global sustainability goals.

The definition of sustainable investments has long been unclear, which is why the EU has developed a new regulation (SFDR) to classify this type of investment. This will enable investors to easily understand and compare different types of sustainable investment alternatives.

Sustainable Funds

One of the most common types of sustainable investments is mutual funds. Most funds have a sustainability policy that explains the funds view on sustainability. It explains, i.a., what the fund intends to invest in, but also what it does not invest in.

The EU’s taxonomy (SFDR) classifies funds based on its sustainability goals. Dark green funds are those whose goals are sustainability and address Article 9 of the taxonomy. The funds that promote sustainable properties are called light green and address Article 8. The remaining funds fall under “other funds” and address Article 6.

AuAg Funds and sustainability

AuAg Fonder promotes sustainability in all funds. Sustainability is an important area, and it is especially important when working with companies that have a significant impact on the environment but at the same time play an essential role in the green transformation. Read more about AuAg Fonder’s views on sustainability here .

An example of a fund focusing on green tech is AuAg Precious Green.