Architas Responsible Spotlight

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The intended audience is AXA staff who have received this material directly from Architas Limited. The materials must not be distributed to, or provided to any other party.

New facts and insights from the world of responsible investing, delivered to you every month.

Funding positive change

Green bonds are issued with the goal of funding infrastructure projects with a specific environmental benefit, such as low-carbon transport or clean energy. In 2020 more than $270 billion of green bonds were issued by governments and companies across the globe. Towards the end of the year, the German Treasury received €33 billion of bids for its €6 billion issuance, while Google parent-company Alphabet issued $5.75 billion of sustainability bonds to fund clean energy and transportation, green buildings and affordable housing.

New analysis suggests that another $500 billion of green bonds could enter the market in 2021, as governments and companies raise funds to help the recovery from the Covid-19 pandemic. The EU has said it will issue €225 billion of green bonds as part of its Covid-19 stimulus package. And in the US, Joe Biden has been clear on his commitments to tackling climate issues and ‘building back better’, which should be positive for the asset class.

Our view

In recent years there has been growing demand for bonds that are designed to fund specific environmental or social projects, as part of a wider shift towards responsible investing. We expect this trend to continue, especially as sustainability has emerged as a central theme of many countries’ Covid-19 recovery packages.

Inside Architas

Each month, we look at the steps Architas and the AXA Group are taking towards a better, more sustainable future for our employees, communities and the wider world.

Last month, we celebrated International Women’s Day with the ‘Choose to challenge’ campaign. Senior staff from Architas and the wider AXA Group highlighted their commitments to achieving gender equality, including Architas CEO Matthieu André. We also held a (Wo)ManCo Fireside Chat with Beatrice Chevrant Breton, France Germani, Tracey Kinsella and Dorothee Rougier. Each speaker shared details about how they’ve achieved success, what inspires them and the obstacles they’ve overcome.

Our approach

At Architas we specialise in multi-manager, multi-asset investing. We work with fund managers to ensure they are investing responsibly and focusing on environmental, social and governance (ESG) issues. In 2018, we began our journey to full ESG integration across all of our offers, and we aim to achieve this by the end of 2021. Since 2018 we have also been signatories of the United Nations Principles for Responsible Investment. For more information about our responsible investing process please click here.

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