Mapfre Asset Managemt told Net Zero Investor this afternoon it is launching a new private debt fund for green investors that will bring together all of the insurance group's subsidiaries and its sole focus being ESG-friendly investments.
The ultimate aim is to have exposure via 15 large fund managers while priority will be given to ESG criteria, shared Javier Lendines, general manager of Mapfre AM.
"ESG policies are being implemented in illiquid markets at a quicker rate than in liquid markets," he stressed.
"We appreciate how they require the companies they finance to incorporate these commitments, which we can see in the covenants or in the spreads they’re paying in financing, among other factors," Lendines explained.
“This commitment to private debt helps us further diversify our portfolio as part of our range of alternative investments, without compromising at all on our conservative nature. It will also provide us with a little more profitability,” he continued.
Lendines said the management team will carry out exhaustive due diligence of the funds to be invested in and will take criteria such as fund size, the experience of the management team, the time it has been working together, and the track record of previous investments into account.
Mapfre began its adventure into alternative assets through funds in 2018. Since then, it has committed around £1.3 billion in real estate, infrastructure, private equity, private debt and renewable funds.
