Qantas Super, an investment management firm, has announced that it has recently invested $2 billion in sustainable listed equities by forming a new partnership with Goldman Sachs Asset Management and Calvert Research and Management.
The investment will be divided equally between two management firms with the aim of minimizing carbon footprint of Qantas Super’s Australian and global portfolio.
Andrew Spence, CIO of Qantas Super, said that the company truly believes that environmental, social and governance (ESG) factors highly impact the investment returns and risks and allow Qantas to contribute to sustainable growth. This is why Qantas Super embedded sustainability as one of its core investment beliefs in 2015.
Qantas Super has allocated $8.5 billion to achieve the goal of net-zero emissions across its investment portfolio by the year 2050 and reducing the emissions by at least 24% by the year 2025.
The company claims that changes related to climate change adaptation such as investment to carbon neutralize existing businesses and generation of new businesses will present immense opportunities to generate returns for members.
Luke Sarsfield, co-head of Goldman Sachs Asset Management, said that investing in energy transition can yield improved returns by mitigating climate risks while supporting positive change for the environment and society.
He further said that the company is looking forward to a long-term association with Qantas Super to fund its unique needs and goals in order to minimize the carbon intensity.
Calvert Research and Management also expressed its view on the new partnership by stating that it is excited to join hands with the super fund on its emissions reduction journey.
Reducing carbon footprint is a significant step in minimizing the ESG risks in an investment portfolio, said Calvert CEO and President John Streur.