Nuveen has announced the launch of its Global Credit impact strategy, which seeks to generate long-term returns while aiming to create a direct, measurable social and environmental impact.
According to the firm, it has received some US$170 million investment from a range of global investors, including Nuveen’s parent company, TIAA.
The strategy marks the latest in a series of launches from Nuveen’s US$413 billion fixed income platform, with the most recent now seeking to provide investors with access to investment grade corporates and other credit sectors designed to deliver alpha and total return.
“Growing our fixed income platform and specialist range are cornerstones of our continued international expansion as a truly global asset management business,” Anders Persson, chief investment officer of global fixed at Nuveen, said.
“This launch is just the next step in Nuveen’s continued growth in terms of offering alongside further partnering with like-minded investors across the world who share in our vision of investing to make an enduring impact on the world.”
According to the asset manager, it will aim to address issues such as access to affordable housing and community development, as well as environmental issues ranging from climate change to the regeneration of natural resources.
The strategy will be co-managed by portfolio manager Jessica Zarzycki and head of fixed income impact, Stephen Liberatore.
Commenting on the launch, Zarzycki said the strategy will not only aim to consistently outperform the global corporate bond market on an excess and risk-adjusted basis, but also lower the cost of capital for environmental and social projects by funding initiatives through fixed income markets.
“We are encouraged by the level of client interest in the strategy at launch and their belief in our position as an innovator in impact investing,” Zarzycki said.
Alongside TIAA, the strategy has also attracted investment from Norwegian life insurance company Gjensidige Pensjonsforsikring.
Åge Sætrevik, chief investment officer at Gjensidige Pensjonsforsikring, said the company had been searching for a “like-minded partner” for its global impact credit allocations.
“By partnering with Nuveen to invest in the Global Credit Impact strategy, we are providing our clients with innovative, sustainable pension saving options,” Sætrevik said.
