Neuberger Berman receives billions from pension system | miscellaneous | 07/23/2021

The US Asset Manager has been mandated to mandate a multi-asset trust by the Brunel Pension Partnership. Among other things, the goal is to combat climate change and achieve net zero emissions for the portfolio by 2050.

Neuberger Berman receives a €1.5 billion (£1.3 billion) multi-asset loan from Brunel Pension Partnership, one of the UK’s largest public pension schemes (LGPS). The chosen investment strategy aims to combat climate change, among other things. The Independent Investment Manager will notify you by mail.

IG Sub-Strategies for Neutral CO2
The Multi-Asset Climate Change Lending Strategy invests in a variety of credit sectors with an emphasis on sub-investment grade credit. It aims to outperform the spot rate by four to five percent annually over the course of the cycle. The strategy is designed to bring the portfolio in line with the Paris Climate Agreement. This will result in net zero emissions for the portfolio by 2050. Intermediate CO2 emissions reduction targets have been set for 2025.

The mandate is led by Neuberger Berman’s Multi-Sector Trust Investment Team, which includes senior portfolio managers Dave Brown, Joe Lynch and Norman Milner.

“By offering Neuberger Berman’s full range of fixed income capabilities in a single multi-asset loan fund, we can help Brunel clients achieve their investment goals,” says Ed Jones, Head of UK Institutional Clients Business. “Given the importance that Brunel places on environmental, social and corporate governance and climate change, we are particularly honored with the mandate. We view it as recognition of our efforts to integrate climate protection and responsible investment across all fixed income sectors.”

“…necessary intuition”
David Cox, Head of Listed Markets at Brunel, sees the launch of the multi-asset loan fund as an opportunity for his clients: “The new fund provides our clients and members with access to sub-investment grade loans across a variety of sub-categories. We look forward to working with Neuberger Berman. It demonstrates both The investment expertise we’re looking for and the instinct for responsible investing – they also offer a variety of investing approaches.”

The Brunel Pension Partnership – one of the UK’s eight regional pension programs that collectively raise more than £40.5 billion (£35 billion) in investment – makes targeted investments in strategies that advance solutions to sustainability and social well-being problems. (aa)