UBS is cementing its position as one of the go-to banks for sustainable investment solutions.
The $2.7 trillion Switzerland-based money manager has made sustainability one of the cornerstones of its wealth-management business. On Monday, it announced that UBS Wealth Management and UBS Wealth Management Americas have raised $325 million for The Rise Fund, an impact investment fund led by private equity firm TPG Capital.
“The sum raised represents the largest investment in the private equity impact investment vehicle,” according to a press release on the news.
The Rise Fund was founded by Bill McGlashan, the cofounder of STX Entertainment, singer-songwriter Bono, and Jeff Skoll, a billionaire Canadian engineer. The fund has an investment cap of $2 billion.
Sustainable investment solutions, which aim to both deliver outsize returns and remedy societal and environmental ills, are becoming more and more popular. The bank’s $325 million commitment is part of a greater goal to raise $5 billion for impact investments designed to advance the UN’s Sustainable Development Goals.
The $325 million in contributions come from across UBS’ wealth-management network, according to Jason Chandler, head of investment platforms and solutions at UBS Wealth Management Americas. The money will be invested in companies and projects that benefit society and the environment, he said.
“The investments considered span multiple industries across the globe,” Chandler told Business Insider.”An independent firm assesses the positive impact which is reported to UBS clients in addition to the financial return on their investment.”
Read more: UBS impact fund – Business Insider