Pictet Asset Management is betting big on sustainable cities. The Swiss investment group is seeking to invest more of its $42 billion UCITS-compliant Pictet-SmartCity fund into new tech that addresses the new challenges of urbanization, according to Institutional Asset Manager, a British magazine.
The manager of the strategy is, supported by Lucia Macaccaro, Investment Manager. The team will adopt the same active management process applied to all Pictet AM’s thematic strategies; high conviction portfolios composed of companies with high exposure to the theme.
“Cities are having to adapt to manage rapidly growing populations, while seeking to reduce their environmental impact. This is creating abundant investment opportunities for our clients,” Pictet Senior Investment Manager Ivo Weinöhrl said. “We believe that the new addition to the thematic franchise will offer an original investment proposition, underpinned by the powerful long-term trends of demographic change, economic growth, sustainability and technological progress.”
The Pictet-SmartCity strategy will focus on companies that design and plan, build and maintain or market services in infrastructure, real estate, resources managers, transportation and other aspects of the urban landscape.
So-called “smart cities” not only operate in ways that reduce greenhouse gases and social ills like substandard housing and crime. They also use monitoring systems to accurately quantify those issues. Brining those systems online is an investment opportunity, said Weinöhrl.
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