Denmark’s Forsikring & Pension (F&P) has published its first report on the pension and insurance industry’s responsible and sustainable contributions to the climate and society.

It stated that the industry plays a proactive role and has internationally taken the lead with ambitious targets in the green transition.

The report said that the industry is helping ensure that Denmark can meet its target of a 70 per cent reduction in carbon emissions by 2030 and the long-term targets of the Paris Agreement.

Furthermore, it highlighted the Danish pension and insurance industry’s contributions to the prevention of climate damage and work for broader climate solutions.

“We have prepared a report that describes and illuminates the industry's work with sustainability and responsibility,” said F&P managing director, Kent Damsgaard.

“We believe it is important to have one unified place where we can show part of our sustainable activities, present facts about the companies' efforts and set out the agenda for an informed debate going forward.

“It is an area full of dilemmas, and therefore it has been important for us to make visible our activities and what is behind the thoughts.”

The report aims to ensure continued openness and transparency around the industry’s work with sustainable and responsible investments.

It noted that while the companies invest sustainably, there must always be a balancing of risks and ensuring good returns for pension customers.

Furthermore, it highlighted the importance of engaging with companies that are not meeting the green agenda to push them to a more sustainable future.

“Our companies cannot only invest in 100 per cent purely sustainable companies, because then we simply will not reach the goal of the green transition,” Damsgaard commented.

“It is absolutely central that we invest in the transformation from black to green, so that we can help more people orient themselves more in a greener direction. And that benefits both the environment and the savers.

“Sustainable and green investments can be well combined with good returns, the past several years have shown.”

Damsgaard emphasised the political need to create a better framework for green investments.

“Our companies contribute massively with investments to climate solutions at home and in the rest of the world,” he stated.

“But in order for us to increase investment further within the country's borders, it requires the necessary framework conditions to be present. That part continues to go too slowly, and this may hinder large investments in the long run.

“It is a core task for politicians to ensure these conditions, so that green investments and projects do not come to fruition in waiting times that actually extend over several years.

“Green action should therefore become a main effort for the incoming government.”

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