Principal launches food and biodiversity fund

Principal Asset Management has announced the launch of the Global Sustainable Food and Biodiversity Fund.

The fund will invest in companies committed to sustainable agriculture and food security and targets companies aligned to target SDGs, including ‘Zero Hunger’ , ‘Good Health & Wellbeing’, ‘Clean Water & Sanitization’ and ‘Responsible Consumption & Production’. In addition, approximately 80% of the fund’s portfolio are investments in companies that seek to target biodiversity impact.

The new fund is to be classified as an Article 9 fund under the Sustainable Finance Disclosure Regulation.

Martin Slipsager Frandsen, Global Equities Portfolio Manager, Principal Asset Management, said, “We are excited to bring the Global Sustainable Food and Biodiversity Fund to clients across the globe. We believe sustainable food production is the most credible path to improving biodiversity. With agriculture remaining the most biodiversity-exposed sector, it holds the greatest potential for impact and we believe current demand for biodiversity will lead to great investment opportunities.

We launched the strategy two years ago and have been previewing with potential investors during that time frame. We are excited to be able to meet the needs of those investors who require a registered fund vehicle.”