The Dutch pension fund, ABP, has revealed its new investment policy, which includes €10bn worth of impact investments in the Netherlands.

The pension fund, for those working in government and education, plans to make a new selection of companies in its equity portfolio that it wants to invest in. The new policy brief responds to two major changes: climate and biodiversity.

ABP said it will make “sharper choices” about the companies it invests in and those that are “inextricably linked to climate change and are unable or unwilling to change no longer suit us”. It also wants to encourage other companies to change faster, and as part of this, engages with large energy consumers and companies that have a major impact on climate.

Overall, it will allocate €30bn for investments that deliver financial and social returns, €10bn of which will be allocated to companies in the Netherlands. Investments in its home country will focus on sustainable and affordable energy, affordable housing, and the financing of growth companies in the Netherlands.

ABP board chairman, Harmen van Wijnen, believes that renewal is necessary in a changing economy: "The business world must now work on climate policy and conservation of nature and biodiversity. This changing world also has an impact on our investments.

“ABP's renewed policy aims to better manage the risks of this changing economy for the investment portfolio. And so, we too must innovate. Conversely, our investments have an impact on the world. That offers opportunities to make a social contribution. For example, by investing in a sustainable and reliable energy supply and affordable rental housing, including in the Netherlands. ABP's investments thus pay off for our participants in several ways. This is also the wish of many participants."

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