climate

Some of the world’s biggest pension funds and insurance companies – including the New York State Common Retirement Fund, Canada’s PSP Investments, NN Group and Varma Mutual – are on the lookout for climate-related investment opportunities.

The European private equity firm plans to set a decarbonisation plan at both the GP and portfolio level in the coming year, says Denise Odaro, head of ESG & sustainability.

Alvar de Wolff, managing director, head of ESG and responsible investing at Bregal Investments, tells New Private Markets what the firm is thinking about nature-based risks and opportunities in 2023.

Carbon footprinting and board diversity are high priorities for many private equity firms’ ESG teams – while biodiversity will be monitored if it is material.

The climate-focused team has raised $2.6bn from external investors, which will combine with around $900m from General Atlantic's main growth equity programme.

The changing macroeconomic tide means private markets investors can no longer focus their energy on climate alone, says Carmela Mondino, head of ESG and sustainability at Partners Group.

The Australian mid-market firm will dedicate resources to sharpening its portfolio climate reporting and incorporating nature into its investment process, says responsibility and impact head Natasha Morris.

Sophie Durham says the firm also has a three-part climate action plan for its portfolio companies to implement by the end of 2023.

In 2022 the private equity industry rallied together on climate issues, says Hg's chief sustainability office Caroline Löfgren, and next year Hg will be taking this to the portfolio.

The private markets firm is working with peers on the topic of biodiversity, says Tang Zongzhong, head of sustainability at BPEA EQT in Singapore.