Type: Aligned Investments
Topic: Agriculture, Buildings & Housing, Carbon Capture & Storage, Clean Transportation, Energy Efficiency, Renewable Energy, Technology, Water
Status: Current
The Acadian Sustainable Global Equity Fund uses quantitative modelling and fundamental insights to identify socially responsible global equity stocks and reduce exposure to carbon intensive companies. The strategy uses natural language processing to gain insights on the range of climate disclosure and other unstructured data. This allows Acadian to craft climate-aware strategies for their clients and add differentiated environmental, social and governance (ESG) signals to their systematic model to enhance return forecasts.
Investment
$100 million; originated in August 2022
Rationale
Our seed investment in Acadian’s Sustainable Global Equity Strategy diversifies our public equity portfolio, creates additional exposure to value, and augments our approach to mission alignment. This strategy will help McKnight reach our commitment to achieving a Net Zero endowment by 2050 or sooner—with weighted average carbon intensity more than 30% below a 2020 benchmark baseline and with a net zero glidepath to 2050 or sooner.
Benchmark
MSCI World Index
Returns
Too early to evaluate.
Lessons Learned
Too early to report.
Disclaimer of Endorsement: The McKnight Foundation does not endorse or recommend any commercial products, processes, or service providers.
Last updated 10/2022