International asset manager Robeco announced today plans to launch a new range of transition investing strategies over the next few months, spanning a range of asset classes and aimed at finding alpha in companies that are making sustainable transitions across all industries, including carbon-intensive sectors.

According to Robeco, the launch of the new range comes as most transition investing is currently focused on private markets and real estate, with the new strategies aimed at making transition investing available to broader audiences.

Mark van der Kroft, Chief Investment Officer at Robeco, said:

“Today, Robeco offers multiple strategies with clear climate targets and funds investing in transition enablers. However, recognizing the urgent need for transition finance to support global sustainability goals, Robeco is pleased to also introduce investing in actual transition assets in public markets. Our commitment stems from the understanding that effective transition is about more than just investing in green technologies; it’s about driving meaningful change across all sectors.”

The new transition strategies will initially focus in Asia and emerging markets, described by Robeco as markets “where the investment opportunities are most stark,” with UN data estimating that the transformation of emerging economies to net zero by 2050 is anticipated to require $125 trillion and investment, and regulators already indicating that they want companies to make and disclose transition plans.

According to Robeco, the new strategies use frameworks to distinguish transition leaders from laggards, and will utilize the firm’s transition investing approach finance companies making progress in sustainable development, while adhering to key principles such as intentionality, measurability, and credibility.

Thu Ha Chow, Head of Fixed Income Asia at Robeco, said:

“The strategies that we will bring in the coming period perfectly combine Robeco’s core strengths in alpha generation and sustainability expertise. Transition investing presents challenges due to the scarcity of publicly available data and metrics. Leveraging our 25 years of experience in sustainable research and investing, we’ve developed proprietary data and frameworks to overcome this lack of transparency.”