Llinas Arnaud Lyxor Asset Management

Lyxor Climate ETFs have raised over €1 Billion in assets

Lyxor Asset Management announces that it has raised over €1 Billion in assets inits Climate ETFrange, only one year after itslaunch, in a sign that investors are taking decisive action to align their portfolios with their carbon neutrality goals.

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Arnaud  Llinas,  Head  of  Lyxor  ETF  and  Indexing

The eight Lyxor Climate ETFs, whichreplicatetheS&P Paris-Aligned Climate(PAB)  and MSCI  Climate Change(CTB)  indicesand  are designed  to comply  with European regulations, account for a share of 30%of the ETF market segment tracking PAB and CTB indices1.

In March 2020, Lyxor became the first European ETF provider to launch a full ecosystem of ETFs that takethe objectives of the Paris Agreement of limitingthe rise in temperatures to 1.5°C,“with no or limited overshoot” above pre-industrial levels, into account.

In a context where flows into ESG ETFs are breaking all records in Europe, Climate ETFs are making their way into the portfolio allocations of institutional investors committed to decarbonising their portfolios and  contributing  to  reduction  of  emissions.  Labelled  climate  indices  provide  a  transparent  and  cost-effective  way  to  leverage  a  multitude  of  climate  data.  The high  value-added PAB  and  CTB  indices tracked by the Lyxor ETFs allow investors to reduce the immediate carbon intensity of theirportfoliosand to follow an absolute decarbonisation path of 7% year-on-year.

Arnaud  Llinas,  Head  of  Lyxor  ETF  and  Indexing,  commented:  “Over  the  past  year,  institutional investors gradually became aware that Climate ETFs can be an effective tool in the fight against climate change, as they can shift capital towards low-carbon investments at scale, within a scientific rules-based and transparent framework. We are convinced that Climate ETFs, through their accessibility and low fees,  will also  help democratizeclimate  investment  for  retail  investorsand,as  a  result,will  form  a fundamental component of the wider ESG ETF market.”

Fighting climate change is central to Lyxor’sconvictions. Lyxor positions itself asthe ETF provider of reference for climate indices, having launched the world’s first Green Bond ETF in 2017, the largest in its category with €560 million of assets under management2.  Most  of  the  capital  raised  by  the  ETF’s underlying  Green  Bonds  finances  projects  aimed  at  fighting  climate  change. Earlierthis  year,  Lyxor published temperature measurements for 150 of its ETFs, enabling investors to assess the impact of their portfolios on global warming and to reallocate their capital towards a low-carbon economy.

1 Source: Lyxor International Asset Management, Bloomberg, as of 02/06/2021.

2 Source: Lyxor International Asset Management, Bloomberg, as of02/06/2021.


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