Danish pension fund Velliv, which has around €45bn of assets under management, has backed Nuveen’s second global climate inclusion private equity strategy.
At first close the mandate has raised around $200m from a mix of global investors, including Velliv, the $1.2trn asset manager announced.
According to Nuveen, the Article 9 fund focuses on tackling climate change and global inequality , with part of the strategy aiming to offer basic financial services for low-income consumers, aiding them to build resilience to climate change. Net Zero Investor has enquired into how much Velliv has committed to Nuveen’s private equity strategy.
Anders Stensbøl Christiansen, chief investment officer at Velliv, explained that the pension fund has previously invested in Nuveen’s impact funds, with its commitments helping to address environmental, social and governance challenges.
“Nuveen Private Equity Impact enables Velliv to achieve a global reach in our impact portfolio, delivering returns and measurable impact across several Sustainable Development Goals through both socially and environmentally focused investments,” he added.
Velliv currently has a target to reduce its CO2 emissions by 60% by 2030, it aims to become carbon neutral by 2050. However, the fund has recently reported that it is not on track to meet these targets and has seen an increase in its carbon footprint.
Before its latest announcement, Nuveen’s first private equity impact series secured over $200m of commitments, investing in eight global businesses since its launch in 2021, the manager explained. One investment was in Perch Energy, a clean energy platform and solar servicer.
Rekha Unnithan, head of private equity impact at Nuveen, said: “We believe that climate change and inequality, two of the biggest challenges the world faces, can be addressed by commercial businesses. The changing regulatory environment and shifts in consumer sentiment means overcoming those challenges also presents a compelling investment opportunity.”
