Dutch pension asset manager, APG, is introducing a new index product in the field of responsible investment in publicly traded real estate, in response to demands for ‘greater customisation’ from pension funds.

APG managing director of quantitative strategies, Ronald van Dijk, said this is an increasing trend.

“Standard products that should be suitable for everyone will, on the other hand, gradually disappear,” he said. He explained that this is partly because pension funds have their own sustainability policies and want to see this reflected in the products in which they invest.

The new index, the Real Estate Responsible Investment Index Strategy, is primarily intended for APG's smaller asset management clients: SPW and the PPF employee fund.

APG collaborated with STOXX, as well as a number of data providers, to create the index such as CRREM, which ensured the index aligns with the targets set out in the Paris Climate Agreement.

Commenting further on the index, Van Dijk said: “The distinctive character lies mainly in the customisation that it provides to clients, helping them achieve several key ESG objectives.”

Share Story: