Nordea Asset Management has launched a range of SFDR Article 9 bond funds, which will apply “double ESG due diligence” through the issuer and use of issue.
Out of the suite, the Nordea 1 – European Corporate Sustainable Labelled Bond fund will be managed by Nordea’s credit team and will invest in euro-denominated investment-grade labelled corporate bonds and non-labelled corporate bonds.
The launch follows the liquidation of the Nordea 1 – Global Social Bond in April after being introduced in 2022. Nordea said the fund was closed due to “the size of the AUM and muted demand for the single-themed strategy”.
According to Nordea, the current sustainable and labelled bond asset class has grown in a value of near €480bn in the European market. Green bonds, social bonds, sustainable bonds, and sustainability-linked bonds fall under this umbrella.
Christophe Girondel, global head of distribution at Nordea, said: “With more than 30 years’ experience in ESG investment and as a trailblazer in ESG bond funds, NAM is launching Article 9 products designed to deliver both returns and tangible impacts. These building blocks are ideal for asset allocators creating sustainable fixed income portfolios.”
The second fund is the Nordea 1 – European Sustainable Labelled Bond fund, managed by the fixed income rates team.
