Investing in a better world

Storebrand Global Solutions is a fund that invests in companies which contribute to solving the world's challenges whilst delivering an average annualised return of more than 16 percent over the past eight years*.

Published 24.09.2020 by Ane Solstad S√łnnesyn/Newslab

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Portfolio Manager of  Philip Ripman

The world is facing major challenges. The UN's Sustainable Development Goals – the shared global roadmap for ending poverty, reducing inequality and combatting climate change by 2030 – require all of us to contribute what we can.

But have you considered that your fund investments can also help? By being aware of the companies and equity funds you invest in, you can help steer the world in a better direction.

The UN Sustainable Development Goals, which outline 17 major challenges facing us today, have been adopted by more than 190 countries.

– This means all these countries aim to solve the same problems – and a lot of capital will be needed to drive us towards the solutions," says Philip Ripman, Portfolio Manager of Global Solutions, one of Storebrand's active sustainable investment funds.

Top climate performer

In February Storebrand Global Solutions was amongst the winners in the global equity category under the CDP Europe Awards in Paris. The fund is a global equity fund which invests in sustainable impact companies that provide solutions to help achieve the Sustainable Development Goals. These so-called solution companies have business activities ranging from medical technology to eco-design.

The fund's investments are divided into four complementary themes: climate solutions, sustainable cities, responsible consumption and empowerment. Each theme is divided into three sub-themes (see the fact box below), which also complement each other.

– These themes are not about headings and nice words, they're about what is happening in the world and investing in the companies which provide solutions to our global challenges. There are many other themes we could have chosen, but these four complement each other well, says Ripman.



Breadth and composition


Storebrand Global Solutions is suitable for institutional clients and private investors, with the fund forming part of many Norwegians' pension portfolios.

– You can find many funds that focus on climate and water, for example, but few have our breadth and composition. Different investment themes also provide diversification benefits, which is a key feature of Global Solutions. Although 2019 was a strong year for companies focusing on climate solutions, it might well be that a different theme performs best in 2020, says Ripman.

Ripman believes that investing sustainably is about understanding where your capital is deployed and the companies in which it is invested.

– It's extremely important to be aware of this. It sends a signal that capital can benefit the world by being invested in these companies. For example, if you're investing towards a pension, you no doubt want your money to contribute to something positive. Although the fund you invest in is unlikely to change the world on its own, it will show what is possible. Global Solutions also demonstrates that it's possible to invest in companies that are both profitable and sustainable, says Ripman.

At the CDP Europe Awards held in Paris in February this year, Storebrand Global Solutions was one of five global funds to be awarded the highest score in the 'global equity funds' category. The ranking is based on independent assessments of around 17,000 global funds, with a particular focus on the manager's policy regarding climate issues and investments.

Last year, Global Solutions produced a return of 26 percent. Since inception on 1 October 2012, it has achieved an average annualised return of 16.61 percent (figures as at 1 August 2020)**.

*NOK 24/8/20 Net of fees

**NOK Net of fees