Net Purpose, a London-based provider of sustainability data for investors, has announced the acquisition of the Sustainable Development Investments Asset Owner Platform (SDI AOP). This strategic move is intended to create a unified standard that will accelerate investments aimed at achieving climate and other Sustainable Development Goals (SDGs).
The SDI AOP was launched in 2020 by major pension asset managers APG, AustralianSuper, British Columbia Investment Management Corporation (BCI), and PGGM. It was designed to enable investors to evaluate companies based on their contributions to the SDGs, which are a set of 17 goals adopted as part of the United Nations’ 2030 Agenda for Sustainable Development. These goals include objectives such as eradicating poverty and hunger, enhancing education, and protecting the environment.
Founded in 2019, Net Purpose assists investors in launching, expanding, and reporting on sustainable and impact funds. The company’s platform allows investors to select sustainability goals or standards, track portfolio performance against these goals, and access investment-grade data on the social and environmental outcomes of companies and portfolios. It also facilitates reporting on outcomes and performance assessments against benchmarks.
The combined entity will be led by Net Purpose’s founder and CEO, Samantha Duncan. According to the company, this transaction will result in one of the largest independent providers of sustainable development data, serving investors and asset owners managing over $40 trillion in assets.
Duncan stated, “Net Purpose was established to help mobilise trillions to achieve the SDGs, and make sustainable and impact investing more effortless for investors. We are honoured to join forces with four of the largest and most sophisticated sustainable investors in the world in this next chapter, and we applaud the high standard they have set for sustainable investing. Let’s align around common standards, and accelerate investments to achieve sustainable goals.”
Under the terms of the acquisition, APG, AustralianSuper, BCI, and PGGM will maintain an active role in shaping the combined platform’s strategy and methodology, including representation on the Net Purpose Board. Net Purpose plans to integrate the SDI AOP methodology, data processing, and customer functions into its operations and introduce enhanced SDG classifications on its platform.
Claudia Kruse, Chief Sustainability & Strategy Officer at APG and Chair of the Asset Owner Platform for Sustainable Development Investments, commented, “The SDI AOP was established by APG, PGGM, BCI, and AustralianSuper to create a shared understanding of investments that contribute to the SDGs, and to help identify Sustainable Development Investments (SDIs). Five years in, we are thrilled to have built a committed community of clients with whom we have set a global standard. We are incredibly excited for this next chapter of the SDI AOP, and to unite with Net Purpose on our shared mission and goals.”
