Dutch pensions manager Achmea Investment Management is linking up with emerging market (EM) loans specialist ILX to give pension funds access to EM debt investments – mostly with explicit impact objectives.
Achmea IM, the Netherlands’ fourth largest pensions manager with €190bn under management, announced this morning that the proposed strategy would provide access to loans originated by multilateral development banks (MDBs) and development finance institutions (DFIs).
This would support the financing of companies and projects that promoted sustainable economic development in EMs and developing economies, it said, adding that the majority of the portfolio would comprise loans with an explicit impact objective and measurable contribution to societal development.
Maureen Schlejen, chair of Achmea IM’s executive board, said: “With ILX, we have found a partner with unique expertise, experience, networks and access to investment opportunities in emerging markets.”
Achmea IM’s announcement came ahead of a roundtable meeting taking place today in The Hague organised by the Ministries of Foreign Affairs and Finance, according to Dutch financial daily Het Financieele Dagblad (FD).
Development banks, Dutch and European pension funds and ILX will be at the meeting, FD reported.
Schlejen said of the partnership with ILX: “Together, we are developing a solution that helps pension funds and other institutional investors achieve both their financial and societal objectives.”
Achmea said ILX had strong relationships with international MDBs and local DFIs, which gave it access to “ high-quality investment opportunities that support private sector development, sustainable economic growth, and positive social impact”, enabling it to invest in the real economy of those markets.
Schlejen told FD there was significant demand from pension funds for impact investments.
“Impact investing has grown from a niche into a mature asset class. This process has accelerated sharply, particularly over the past three years,” she said, adding that the focus had also shifted from the amount of capital invested toward the actual impact and how it was measured.
Sjoerd Sjoerdsma, Dutch minister for Foreign Trade and Development Cooperation, described the partnership as a “win-win”, FD reported.
“Pension funds gain access to attractive investments, while countries like Egypt and South Africa see investment in economic development and the climate and energy transition,” he said.
“Scaling up initiatives like this is important. In an era of geopolitical shifts, it helps strengthen Europe’s position in rapidly growing markets,” Sjoerdsma said.
While large Dutch pension funds ABP and BpfBouw already invested via ILX, Manfred Schepers, CEO of ILX, said the Achmea partnership aimed to put investment in emerging markets within the reach of smaller pension funds.
“Together with Achmea IM, we can make our investment strategy available to a broader group of institutional investors,” he said.
