APG and TIAA hired Arcmont Asset Management to manage a combined €475 million ($517 million) in impact strategies, according to a news release.
APG has about €627 billion in assets under management. TIAA is a retirement solutions adviser with $1.4 trillion in AUM. It is also a financial services firm and owns Nuveen, of which Arcmont is a subsidiary.
The strategy aims to provide debt financing to companies whose products and services seek to address critical environmental and social challenges across themes of climate, health, education and sustainable economic growth.
Developed in collaboration with consultant Bridgespan Social Impact, the strategy is will look to use industry frameworks and have impact considerations integrated throughout the investment lifecycle.
"At APG, we want to be at the forefront of impact investing," said Menno van den Elsaker, head of alternative credits and mortgages at APG, in the news release. "Through this partnership with Arcmont, we can deliver attractive investment returns for our clients while contributing to their ambitious impact objectives."
APG is the manager for Stichting Pensioenfonds ABP, Heerlen — the largest pension fund in the Netherlands with assets of around €477 billion. The APG mandate will also provide investment returns for the €61 billion BpfBOUW, Amsterdam, and the €8 billion PPF APG, Amsterdam.
Arcmont is a European private debt asset management firm and a subsidiary of Nuveen Private Capital, the latter of which has a total of $34 billion in assets under management in impact strategies.
