Merseyside Pension Fund, Liverpool, England, hired State Street Global Advisors to manage a £400 million ($509 million) passive equity allocation with a climate-change focus, said Owen Thorne, the pension fund's investment manager, during an event Thursday hosted by the pension fund's index provider, FTSE Russell.
In October, Merseyside selected FTSE Russell's Smart Sustainability index as the benchmark for the £9 billion pension fund's climate-risk strategy applied to its public equity portfolio. The index is used for a third of the pension fund's £1 billion passive equity portfolio.
SSGA will use a multifactor approach that targets risks and opportunities arising from climate change and global decarbonization efforts.
