Reports

Alexandra Pinzon, Nick Robins and Gabriel Thoumi explore how investors in sovereign bonds can take action to confront the risks of deforestation.

Current and future generations can continue to benefit from the Earth’s terrestrial and marine species and natural resources only if this biodiversity is protected. The cost of environmental protection—traditionally borne by governments and nongovernment organisations—is high. Yet the cost of not protecting our biodiversity is far greater in that we risk losing the means to sustain life. The conservation of our natural environment and the achievement of sustainable ecosystems will require greater private sector involvement, a rapid upscaling of sustainable businesses and green infrastructure, and new financial arrangements.

The EU Blue Economy Report seeks to continuously improve the measuring and monitoring of the socio economic impact of the Blue Economy, without disregarding the environmental implications. As the European Union embarks on the new European Green Deal1, the need to ensure that all angles are being considered becomes more and more evident so economic growth and employment go hand in hand with protecting and restoring nature and fighting climate change.. The Report should be seen as a tool to support relevant initiatives and policies under the new European Green Deal, which aims at implementing the United Nation’s 2030 Agenda by putting “sustainability and the well-being of citizens at the centre of economic policy and the sustainable development at the heart of the EU’s policymaking and action”

The oceans cannot sustain the ongoing imbalance driven by declining wild fish stocks and rising demand. A period of restraint is needed to allow ecosystems to replenish. We outline a proposal to facilitate this with the creation of a blue bond. This would compensate the industry for its temporary loss in cashflow and provide a return for investors when fish stocks recover.

The SDGs are 17 objectives for improving human society and ecological sustainability adopted by the United Nations in 2015. They cover a broad spectrum of sustainability topics, ranging from eliminating hunger and combating climate change to promoting responsible consumption and making cities more sustainable.The economic activities of companies can both positively and negatively impact any one of the 17 SDGs and their 169 targets. Investors including Robeco have developed strategies that target those companies that can make a net contribution, depending on their business activities.But how do individual economic activities ranging from manufacturing consumer goods to providing financial services make a difference? This was studied in a research paper by Jan Anton van Zanten, SDG Strategist with Robeco’s SI Center of Expertise, and Rob van Tulder, Professor of International Business and Society Management at the Rotterdam School of Management, Erasmus University.

This discussion paper seeks to advance the concept of transition finance as a channel for systemic decarbonization of the global economy.  We offer an updated definition of transition finance, review estimates of investment flows directed towards low-carbon activities, and highlight metrics that could be adopted by banks, asset managers, and other financial institutions to ensure integrity.  Transition finance has the potential to facilitate real changes in the global economy but needs a set of mandatory standards that underpin tangible contributions towards a future energy system. As capital providers examine their options for accelerating progress on climate change mitigation, we highlight the crucial role of transparent criteria in managing continued funding to fossil-fuel producers and energy-intensive firms.

The climate crisis threatens our lives and livelihoods. The evidence is clear: we must flatten the warming curve, and fast. The Intergovernmental Panel on Climate Change (IPCC),1,2 the U.S. National Climate Assessment,3,4 and other reports give us the scientific imperative for action. It is scary stuff. But too much of the climate movement of the past was about what climate change is doing to us, and not about what climate action will do for us. Taking action does not require austerity and scarcity. Done well, it will result in more wealth, more fairness, better jobs, and more security for every American. We already have the technologies needed to avert catastrophe. We just need the American optimism and the political will to deploy them on an unprecedented scale. To ignite this transition, we need Congress to act. This report provides a framework for Congress to finally do what is necessary to build the clean energy future we all deserve

Demand for impact investing has been on the rise: according to the Global Impact Investing Network, a study of 1,700 impact investors found that aggregate assets under management increased from $502bn in 2019 to $715bn this year. And as the world wrestles with the unprecedented challenge of the coronavirus pandemic, we have seen this demand accelerate further as the virus has put the need for impact investing under the spotlight.Our H1 2020 report examines our Fund’s activity and performance in the first six months of the year, demonstrates our engagement progress, explains how three megatrends are shaping our investment thinking, and provides case studies illustrating how two of our current holdings are aligned to our health and wellbeing theme. Find out more.For professional investors only. Capital at risk.