What do I need to know about Nordic Swan Ecolabel funds and investment products
All of us can make a difference by purchasing goods and services that contribute to a more sustainable world. For more than 30 years now, consumers have been using the Nordic Swan Ecolabel to find guidance on products that meet Nordic Ecolabelling’s strict requirements in areas such as environment, health and quality. Over the years, the Nordic Swan Ecolabel has helped us to influence companies to reduce their impact on the environment. Since 2017, we can also have an indirect effect on companies via Nordic Swan Ecolabel funds and investment products. The aim of Nordic Swan Ecolabel funds is to use the power of capital and ownership to steer companies in a more sustainable direction.
For an investment fund carrying the Nordic Swan Ecolabel, this means that:
- The fund excludes investments in certain industries and companies that are particularly problematic from a sustainability point of view.
- The fund conducts an extensive ESG (Environmental, Social and Governance) and EU Taxonomy analysis of its potential investments and prioritizes companies that are more sustainable.
- The fund openly discloses all holdings on a quarterly basis. In addition, the fund publishes an annual report on the sustainability performance of the fund.
- The fund is encouraged towards active ownership and extensive engagement with investee companies.
The Nordic Swan Ecolabel does not suggest that all of the fund’s companies are sustainable or without problems or challenges. Many industries are currently in a transitional phase. The aim of our requirements is to make your investment in a Nordic Swan Ecolabel fund move markets, industries and companies in a more sustainable direction.
Perhaps you have not thought about it, but when you put money into investment funds you indirectly become an owner of quite a few companies. As investment funds basically consist of pooled assets from multiple investors, the power and potential of the investor collective is huge. We are convinced that if many investors select Nordic Swan Ecolabel funds, we as a group will be able to contribute to a more sustainable world.
Visit the FAQ on Nordic Swan Ecolabelled funds, including how the requirements capture new EU regulations such as the taxonomy.
Please note that the ecolabel is no guarantee of future financial return. or an evaluation of financial risks associated with the Nordic Swan Ecolabel fund.