- Two mixed international funds with distinct risk profiles focussed on environment, sustainability and corporate governance
- The Bank’s aim is to become a reference in Spain in this investment category
Banco Santander adds a new range of funds to its selection of collective investment products to meet the growing demand for responsible and sustainable investment. The launch of the two new, mixed funds, part of the Santander Sostenible range, starts the Bank on the path to becoming a reference in Spain in this field.
The Santander Sostenible 1 fund, composed of mixed international fixed income instruments, is directed at investors with a conservative profile of a minimum of 75% invested in public or private fixed income and the remaining 25% in equity. The Santander Sostenible 2 fund is designed for investors with a higher risk profile of 55% in equity and the rest in fixed income. These portfolios will include ‘green bonds’ (corporate debt issued to finance sustainable projects such as clean energy and emission-reduction, among others), thematic funds, and investment in assets outside the European market (U.S. stock market, high yield or emerging debt…)
This family of funds adheres to a sustainable investment policy based on ESG (Environment, Social and Corporate Governance) financial precepts. The funds are constructed after a thorough analysis of the investment universe is carried out and a broad number of ESG indicators have been applied to the results. This is accompanied by a thorough financial evaluation with the aim of selecting assets with the highest returns that provide the best perspectives of sustainable, environmental and social finance. The entire process is supervised periodically by an Investment and Sustainability committee that monitors the funds’ fulfillment of sustainability goals and the evolution of their returns.
The Santander Sostenible range of funds has a solid team of five managers that reflects the strengths and capacities of Santander Asset Management, which offers Investment, Equity and Fixed Income Solutions.
With the launch of this new range of funds, Santander reinforces its support of responsible sustainable investment, an area it leads in Spain. Currently, 40% of the main international sustainability initiatives Banco Santander carries out follow International Social Responsible (ISR) criteria. In 1995, Santander created the first ISR funds in Spain and it currently manages the largest fund governed by ISR criteria, Santander Responsibidad Solidario, with €950 million in assets. Last year this fund was awarded Mejor Fondo Solidario (Best Social Fund) by Expansión-Allfunds.
Since 2000, Santander has been included in the benchmark international indices DJSJ World and DJSJ Europe which measure the sustainable behavior of companies based on economic, environmental and social parameters. Dow Jones considers it one of the 10 most valued banks in the world for sustainable management and the first in Spain.