UK asset manager Aviva Investors has launched a Carbon Removal Fund, focused on direct investment in both nature-based and engineered carbon removal technology.
The Article 9 fund aims to provide high integrity carbon removal credits and have a global remit, according to Aviva Investors, a manager with some £234bn in assets.
Launched with seed capital from Aviva’s Investment, Wealth and Retirement business, the fund targets investments from pension funds, insurers and local government pension schemes.
The fund will target investments such as afforestation and restoration projects, commercial forestry, venture capital and private equity-based nature technology and alternative carbon removal companies, the manager stated.
Beyond these investments, the fund will commit to assets that support biodiversity enhancement and species protection, Aviva Investors said.
Daniel McHugh, chief investment officer at Aviva Investors, commented: "This is a fund designed for investors with ambitious decarbonisation pathways in place and that are looking for ways to hedge against exposure to carbon pricing.”
