Hyperion AM neutralises net climate impact
Hyperion Asset Management has announced it will neutralise its net climate impact by offsetting its historical emission since its inception in 1996 for which it partnered with environmental consultancy South Pole.
Hyperion’s managing director and chief investment officer, Mark Arnold, said he believed investors with direct and material exposures to fossil fuel-based energy businesses would underperform as there would be a major disruption from renewable energy generation, storage systems and electric vehicles which would force the companies to internalise environmental costs relating to climate change in the longer term.
“Looking ahead, we expect economic growth to remain lower for longer and believe that the role of fossil-fuel based businesses will substantially diminish over the next decade. Long-term investors who fail to recognise the economic imperative to decarbonise their portfolios will do so to their own detriment,” he said.
Hyperion, which currently manages $8.6 billion across three strategies, engaged South Pole to assist in the planning and implementation of its carbon credit strategy which would see it achieve South Pole’s ‘Climate Conscious’ label, a program which contributes to various initiatives both in Australia and abroad including EcoAustralia Biodiverse Tree Planting project.
“In our view, the single biggest structural headwind to the global economy and everyone’s general quality of life is the negative and worsening effects of climate change. Our portfolios are extremely carbon light, but we wanted to also ensure that Hyperion’s carbon footprint was being offset to minimise the negative net impact our business activities are making on the climate and the environment,” Arnold said.
Recommended for you
GQG Partners has completed the acquisition of the minority interests held by Pacific Current Group in three affiliates which will form its new Private Capital Solutions division.
The wealth management firm has unveiled a new fund in partnership with PG3 AG and investment specialist Longreach Alternatives, describing the investment solution as an “alternative” to traditional alternatives.
Fidante affiliate NovaPort Capital has announced the closure of its small cap and microcap funds, citing expected declining flows.
T. Rowe Price believes Australian growth is successfully managing to shrug off consumer weakness, but the firm’s multi-asset team is not yet positive enough to increase its underweight position.
