Presentation by APG's Michael Friendlander on Investments in Energy Efficiency and the role they can play in a pension fund's asset allocation.
Holland's largest pension plan believes that ESG Investments should play an integral role in an institutional investor's asset allocation.
The presentation does also elaborate on the role of APG as so-called Fiduciary Asset Manager. Developments in the Netherlands have blurred the distinctions between commercial asset managers on the one hand and large pension plans on the other.
LMG agrees that efficient pension plan management is better done in larger organizations. However, when opting for active asset management approaches it remains to be seen if manager selection within or by a Fiduciary organization is 'top-of-the-bill'. An 80 percent internal management of mandates seems rather high when analyzing our databases: no single, large asset manager was outperforming in more than 30 percent of asset categories according to LMG.
APG is nonetheless one of the most professional pension plans in the world and we agree wholeheartedly with the ideas put forward here that pension plans could and should play a more active role in the global allocation of capital in the future. Especially at a time when governments in developed nations are struggling with large debts.