Developed on the premise that investing in the sustainable “green economy” sector can and will continue to match, or outpace, the industry-standard investment profile, the Green Fund launched on July 1, 2008. From the outset it was paramount that the investment universe be diversified both on a geographical and sectorial perspective to properly manage risk and market volatility.
On a sectorial basis the Fund applied a specific investment universe developing the W/CARE profile. W/CARE is defined as investment opportunities in Water, Carbon emission reduction, Agricultural sustainable growth, Renewable energy, and Environmentally sustainable properties.
Geographically the Fund is global in scope, with a weighted concentration on emerging markets. Country-specific exposure currently exists in Brazil, Indonesia, Ukraine, Georgia, China, the MENA region (Mediterranean/Northern Africa), Norway, and the U.S.
The Fund is unique in today's alternative investment market by approaching each opportunity on the basis not only of its financial return potential but also of the sustainable value-added structure surrounding it. This is done in two ways. First, The Green Fund makes co-investments with investment professionals who have both proven track records and established models of risk management ; these include specialists on the ground where the Fund is invested. Second, the Fund can make direct investments in companies/projects that have innovative post-venture capital research and development but are still pre-IPO. This combination allows for above average returns and greater liquidity terms than other Funds that may be focused on like sectors.
Finally, The Green Fund is also unique in having created two management boards to which the chief investment officers must report annually: the Sustainable Board and the Investment Board. Each board comprises industry-recognised professionals, and each will review the Fund's investments in detail to ensure that both financial and sustainable objectives are not only being met, but are also setting new industry standards.
Based on the aforementioned, we firmly believe that the The Green Fund's hybrid investment approach in direct and co-investments, aligned to a globally diversified Sustainable and Investment mandate, allows for professional investors to consider the Fund as an integral part of their portfolio. For further information please feel free to contact us.