KASIKORN ASSET MANAGEMENT Co., Ltd. (“KAsset”), a Kasikornbank (KBank) group company and Lombard Odier, a global wealth and asset manager and a leader in sustainable investing, are pleased to announce the entering of an inaugural Alliance on Sustainability between KAsset and Lombard Odier (Singapore) Ltd (“Lombard Odier”). Lombard Odier will act as a consulting partner, to assist in strategy formulation and the development of sustainable investment offerings and services to the Thai client market, in conformity with international standards.
Built upon the framework of knowledge sharing, this sustainability alliance aims to strengthen KAsset’s position as a leader in sustainability in Thailand. The alliance raises the bar of the Thai mutual fund industry to a world-class level, accelerating the transition to a more sustainable economy while seeking to deliver strong returns to investors. This sustainability alliance is an expansion of an existing Strategic Alliance relationship between Lombard Odier and KBank Private Banking.
As a first building block of this collaboration, KAsset launched its new Target Net Zero (“TNZ”) equity strategy on the SET 100 Index in December last year, that leverages on Lombard Odier’s expertise to build climate-aligned portfolios. The TNZ strategy is a prelude to an upcoming range of sustainability strategies and initiatives, including a signature forum on sustainability for the clients of KBank.
KAsset has incorporated environmental, social and governance (ESG) factors into the investment process for more than a decade - from stock selection to portfolio construction. KAsset is the first asset management company in Thailand to sign the United Nations supported Principles for Responsible Investment (UNPRI), showcasing its commitment to internationally recognized investment principles since 2021.
Additionally, KAsset’s ESG fund is the first in the industry to submit the filing under Sustainable and Responsible Investment (SRI) Labelled Fund. Presently, KAsset has the largest market share (80%) and manages six SRI-Labelled Funds, with a combined assets under management (“AUM”) worth more than 20 billion Baht. [Source of the SEC, as of 31 December 2023]
The worsening effects of climate change have made investors increasingly aware of investments that contribute to a sustainable future. This poses another challenge for KAsset in striving to develop both processes and products to accommodate the transition. Thus, the strategic collaboration with Lombard Odier, one of the world’s leading global wealth and asset manager firm with expertise in sustainable investment, will enhance KAsset’s capabilities in sustainability to manage assets under management across all asset classes as well as develop and expand ESG focused-strategies.
This endeavor reinforces KAsset’s position as a leading asset manager in sustainable and responsible investment in Thailand, contributing to the sustainable growth of the mutual fund industry to be on par with developed countries worldwide.