Japan’s Government Pension Investment Fund has allocated ¥1 trillion ($8.9 billion) to companies that focus on positive environmental, social, and governance (ESG) practices.
The pension fund has ¥144 trillion ($1.3 trillion) in assets under management.
Its ESG allocation represents only 3% of its Japanese stock portfolio, but the focus on positively screening stocks could guide other Japanese and Asian institutional investors to follow suit.
