ING introduces an Article 9 fund

ING, a prominent financial institution, has recently unveiled its fifth impact fund, the SDG Impact Fund, which is specifically designed to invest in companies that actively contribute to the UN Sustainable Development Goals (SDGs).

The fund was initially launched in the Netherlands and is set to be made available across Europe in the near future. It adopts a multi-asset approach, encompassing investments in shares, bonds, and liability-managed investment funds. The primary objective of the SDG Impact Fund is to support and advance the 17 SDGs outlined by the United Nations, with a particular focus on addressing crucial global challenges such as climate change and reducing inequalities within and among nations. By investing in companies that prioritize positive social, environmental, and societal impacts, ING aims to align its fund with the broader mission of achieving sustainable development. Bob Homan, the head of ING's investment office, emphasized the fund's commitment to impactful investments, stating, "We only invest in companies and organizations that contribute their products or investments to the UN Sustainable Development Goals. Making the best possible financial return is not the primary objective of this strategy, but rather investing in impactful companies."

This launch comes in response to the growing demand from investors for environmental, social, and governance (ESG) offerings. ING joins other asset management firms in catering to this trend. For example, Azora, a Madrid-based investment management platform, recently introduced an Article 9 pan-European private equity fund focused on decarbonization and lower to mid-market businesses. Allianz Global Investors has also announced the formation of a global sustainability and social responsible investment (SRI) equity team, led by Giles Money. Additionally, Denmark's Formuepleje established an equity investment team dedicated to addressing ESG issues, with a focus on developing a global equity strategy. These initiatives reflect the industry's commitment to incorporating sustainable and socially responsible practices into investment strategies. By fLEXI tEAM