Sumitomo Mitsui Trust Asset Management entered into a strategic partnership with Osmosis Investment Management, which includes a non-binding agreement to acquire a minority stake in the sustainable equities investment boutique.
It marks the second non-binding agreement with a Japan-based money manager for Osmosis, which said on July 7 that it had signed a letter of intent for Nikko Asset Management to buy a minority stake in the business, as well as forming a distribution agreement.
The strategic partnership with the $645 billion SuMi TRUST will further enhance its sustainability offering, with the two collaboratively developing new products, strategies and research methodologies, a news release said.
"Osmosis is excited to formalize this partnership, based on a shared belief that the capital markets have a pivotal role to play in directing capital towards companies that are leading the transition to a more sustainable planet," Ben Dear, CEO of Osmosis, said in the release. The firm's investment approach targets a significant reduction in the use of carbon and water, and in waste production.
Osmosis had $14.1 billion in assets under management as of June 23.