Edinburgh-based fixed income investment firm Cameron Hume has been awarded a $98m ESG mandate by Australian pension fund, First Super.
The Cameron Hume Global Fixed Income ESG Fund comprises investments in sovereigns, corporates and asset-backed securities. The firm says there is scope for the First Super mandate to increase to A$500m as First Super implements its Responsible Investing Policy.
CEO of First Super, Bill Watson, said: “ESG has clearly been at the forefront of institutional investors’ minds, and managers in equities, infrastructure and property have been talking about it for some time. Although managers of fixed-income and floating rate debt asset classes have been a bit slower to come to the party I believe you will see more institutional investors looking for managers in this asset class and other asset classes with a good ESG methodology. We were keen to work with Cameron Hume because of their commitment to the UN Principles of Responsible Investing (UNPRI) and the reputation the company has gained for introducing ESG into mainstream bond investing.”
Chris Torkington, MD of Cameron Hume said: “We are delighted to have been chosen by First Super for its first ESG mandate. Institutional investors are becoming increasingly aware of the need to integrate ESG ratings into their investment strategies and Cameron Hume is extremely well placed to help them to do that. Using our own proprietary analytics tool, CaTo, and the expertise of our experienced investment team, the Cameron Hume Global Fixed Income ESG Fund makes integrating ESG factors into a fixed-income strategy achievable without sacrificing returns.”