CEO Timo Ritakallio from Ilmarinen says that the pension fund has integrated ESG issues into its investment processes. He says that Ilmarinen also engage with companies and try to achieve improvments through active dialogue. He was speaking in EarthRate´s ESG Conference in Helsinki last week.
– In addition to the norms based assessment we assess company specific ESG risks that can be strategic, operational, financial or compliance related. For us it is also important to see how companies are turning ESG impacts into business opportunities.
– Ilmarinen also compares companies within industries and markets in terms of ESG risks and prepardeness. This enables us to identify industry leaders and laggards. ESG analysis also targets, how company can cope big megatrends like climate change, natural resources scarcity, water issue or urbanization, he says.
Ilmarinen is a pension insurance company and its portfolios market value is over 34 billion euros, of which Finnish equities are about 3 billion euros. The biggest holdings are for example in Nokia, Sampo, Kone, UPM Kymmene and Metso. And in the small cap companies there are Suominen, Technopolis, Basware, Talentum and Tikkurila.