Asset management and strategic advisory firm Rockefeller Capital Management (RCM) announced the launch of Sustainable Investment Portfolios, a new investment solution targeting ultra-high-net-worth and high-net-worth individuals and families, and aiming to capitalize on opportunities from long-term secular sustainability trends and generate positive impact.

Greg Fleming, President & CEO of Rockefeller Capital Management, said:

“Our new proprietary Sustainable Investment Portfolios adds yet one more attractive investment solution to the compelling open-architecture investment platform we’ve created. We’re proud to present such a unique investing opportunity.”

According to RCM, the portfolios aim to generate excess returns through alignment with secular tailwinds, such as investments that may benefit from increased government spending, changing consumer buying preferences, and technological advancements.

Chloe Duanshi, Head of Quantitative Research & Portfolio Construction, said:

“There are many reasons we’re enthusiastic about our Sustainable Investment Portfolios and the potential returns they can generate for investors. One example is our conviction that innovative green technologies will become a newly dominant industry in the decades ahead, as was the case with the internet and software industries during the past 20 years. Investing intentionally in solutions to overarching challenges such as climate mitigation and adaptation has the potential, over time, of achieving excess alpha.”

While focusing on sustainability-related opportunities, the portfolios will also seek prudent diversification, resiliency against unexpected macroeconomic shocks, according to RCM. Dunashi added:

“Within the sustainable investing space, the tendency of thematic managers to focus on a few selected industries can lead to portfolios particularly vulnerable to the risk of under-diversification. We address this challenge differently, through a factor approach emphasizing transparency and rigor. Ultimately, our Sustainable Investment Portfolios are thoughtfully constructed and well balanced, seeking to drive positive changes without compromising the quality of potential investment returns.”