Press release
Northern Trust Selected by Osmosis Investment Management to Support Fossil Fuel Free Common Contractual Fund
Asset Servicing Solutions Support Launch and Distribution Strategy for US$2 Billion Sustainable Investment Manager LONDON & DUBLIN--(BUSINESS WIRE)--
About this update from Northern Trust Corporation
[{"type":"text","content":"\nAsset Servicing Solutions Support Launch and Distribution Strategy for US$2 Billion Sustainable Investment Manager\n\n LONDON & DUBLIN--(BUSINESS WIRE)--\nNorthern Trust today announced it has been selected by Osmosis Investment Management (Osmosis) to provide fund administration, global custody and depositary services for the Osmosis Resource Efficient Core Equity (ex-fossil fuels) Fund in a Collective Investment in Transferable Securities (UCITS) Common Contractual Fund (CCF).\n\nThe strategy, which Osmosis developed amid growing investor appetite to remove carbon risk from investor portfolios, will allow institutional investors to target an uncorrelated source of sustainable alpha from their core equity exposure, with a positive environmental focus. This latest addition to its suite of resource efficient strategies brings Osmosis’ ex fossil fuel assets under management to over US$600 million.\n\nThe appointment extends the relationship between both organizations – Northern Trust supports several Osmosis funds, including the Osmosis Resource Efficient Equity Market Neutral Fund, launched in 2018.\n\nThe CCF is a tax-transparent fund vehicle, allowing its underlying investors to benefit from double taxation treaties to reduce withholding taxes in markets that recognize transparency as if they held the assets directly. Created in 2004 as a solution for cross-border pension fund pooling, tax-transparent funds have developed as an optimum vehicle for asset managers to facilitate cross-border distribution of funds to institutional investors.\n\nNorthern Trust services US$297 billion in tax-transparent funds globally (as of 31 December 2020) and its expertise in administering European tax-transparent fund vehicles was among the key reasons for its appointment.\n\nBen Dear, CEO at Osmosis Investment Management, said, “As we further expand our fund range to meet client demand for sustainable investment strategies, we need to partner with organizations able to deliver flexible, efficient servicing solutions for our investors. Northern Trust’s expertise in supporting tax-transparent fund structures, allied with its ability to deliver pan-European servicing solutions, aligned strongly with our plans for the launch and development of this fund.”\n\nClive Bellows, head of Global Fund Services Europe Middle East Africa at Northern Trust, ...