ESG and Sustainability
The rise of ESG factors in investment decision making will have a dramatic impact on returns and opportunities in the 21st century. A recent survey by LGT Capital Partners and Mercer showed that 57% of respondents believe that incorporating ESG standards into investment decisions will raise returns. Just 9% argued they reduce returns on investment.
Top Story
Revaia, Europe’s largest female-founded venture capital firm, has successfully raised €150 million ($160 million) for its second fund, Revaia Growth II. The funding was secured from sovereign wealth funds, family offices, and institutional investors across Europe, with support from existing partners like Bpifrance and new backers such as mutual insurer Carac and the European Investment Fund.
Get Daily Updates
Subscribe to DailyAlts Today to get Alternative Investment news, insight, and commentary delivered straight to your inbox every day.
More Stories on ESG and Sustainability
Venture Capital: Israeli Startup Brevel Raises $18.5M Seed For Alternative Proteins
Brevel, a microalgae-based alternative protein company, has secured $18.5 million in seed funding to develop a neutral-tasting, sustainable, and affordable protein for the mainstream food industry. The company’s technology combines sugar-based fermentation of microalgae with high light concentrations at an industrial scale, resulting in a protein that can be used in various plant-based products.
Venture Capital: Dioxycle Nabs $17M Funding For Turning CO2 Into Ethylene
Dioxycle, a French-U.S. climate tech start-up, has secured $17 million in funding to support the development of sustainable ethylene produced from recycled carbon emissions. The investment comes as investors increasingly seek opportunities to support environmentally-friendly solutions in high-emitting industries, which are crucial for achieving global climate goals but have historically received less funding.
Digital Assets: Sam Altman’s Worldcoin And World Id Project Lifts Off Today
Worldcoin, a cryptocurrency project founded by OpenAI CEO Sam Altman, has launched its core offering called World ID. The World ID is described as a “digital passport” that proves the holder is a real human, not an AI bot. To obtain a World ID, customers must undergo an in-person iris scan using Worldcoin’s ‘orb,’ a silver ball approximately the size of a bowling ball. The project has already amassed 2 million users during its beta phase.
Venture Capital: Israeli VC Flora Ventures Raises $80M For Startups In Sustainable Agritech
FLORA Ventures has launched an $80 million fund to invest in sustainable agrifood tech start-ups in Israel and Europe. It is the largest Israeli-based agrifood venture capital firm and the biggest new VC fund in Israel for 2023. The fund focuses on early-stage start-ups that aim to create a healthier, more sustainable, and resilient agrifood system and supports their global scaling efforts.
Alternative Investments/ESG: DWS Introduces A Range Of Factor-Based Equity ETFs With A Focus On ESG
DWS has introduced a series of exchange-traded funds (ETFs) that offer an environmental, social, and governance (ESG) version of its global equity factor ETFs range. These ETFs, listed on the Deutsche Boerse and the London Stock Exchange, have a total expense ratio of 0.25%. The funds track MSCI indices and focus on low carbon metrics and socially responsible investing, targeting large and mid-cap companies from developed countries.
Venture Capital: Coke Bottlers Join to Launch Sustainable Venture Capital Fund
Coca-Cola Bottling Co. United, based in Birmingham, is part of a $137.7 million venture capital fund focused on sustainability investments. The fund, called the Greycroft Coca-Cola System Sustainability Fund, will be managed by Greycroft, a venture capital firm. Coca-Cola Bottling Co. United is contributing $15 million to the fund.
Venture Capital: Wa’ed Ventures, The Venture Capital Arm Of Aramco, Invests In Tenderd, An AI-Powered Emissions Monitor
Tenderd is a UAE-based startup backed by Peter Thiel. Wa’ed Ventures, the venture capital arm of Aramco (TADAWUL: 2222), has made a strategic investment in Tenderd, an AI-forward startup specializing in decarbonizing construction and logistics operations. Tenderd is backed by top-drawer investors, including Y Combinator, Peter Thiel, BECO Capital and Dynamo Ventures. Tenderd’s platform utilizes…
Venture Capital: Bedrock, Which Gathers Seafloor Data For Wind Energy Systems, Raises $25.5M
Bedrock, a seafloor data acquisition and distribution platform, has raised $25.5 million in a Series A funding round. The company aims to revolutionize seafloor exploration and accelerate offshore wind energy development. The funds will be used to bring its unique data offering to the offshore wind market and expand their unmanned autonomous underwater vehicle (AUV) acquisition system.
Venture Capital: Investors Including CBA Pour $220M Into Australian Climate Investment Firm Wollemi Capital
Wollemi Capital, a climate specialist investment firm, has successfully raised $220 million in one of Australia’s largest Series A capital rounds of 2023. The Commonwealth Bank of Australia (ASX: CBA) provided an equity investment to support the fundraising.
Alternative Investments/ESG: UBS Debuts ‘Dividend Aristocrats ESG Elite’ ETF Suite
UBS Asset Management has introduced a new suite of income-focused ETFs designed for investors interested in sustainable dividends and ESG (Environmental, Social, and Governance) criteria. The suite, called ‘Dividend Aristocrats ESG Elite,’ consists of two funds that provide exposure to global developed and US equity markets.
Venture Capital: Material Evolution Nabs $19M For Technology To Decarbonize Cement
Material Evolution: Cement is responsible for some 8% of global CO2 emissions. Material Evolution, an advanced materials company based in the UK, has raised €17.3 million (US$19 million) in Series A funding for its smart, low-carbon cement made from industrial waste streams. The funding will support the scaling of production for their breakthrough cement, which…
Alternative Investments/ESG: Tabula Unveils ESG-Focused, “Fallen Angels” Bond ETF
Tabula Investment Management, a European ETF provider, has introduced the Paris-aligned Global High Yield Fallen Angels Climate UCITS ETF, which focuses on fallen angel bonds. These bonds have been downgraded from investment grade but offer a higher credit quality compared to typical high-yield bonds, according to Tabula CEO Michael John Lyttle. He noted that many fallen angels enter the high yield universe with a BB rating and tend not to slip below that level.
Venture Capital: European Lab-Grown Seafood Startup BLUU Raises $17.5M
BLUU Seafood, a leading European food biotech, has closed its Series A funding round, raising EUR 16 million (US$ 17.5 million). The German start-up plans to use the capital to advance its technology and launch its first products. Cultivated fish, grown directly from fish cells, provides real animal protein without animal slaughter.
Alternative Investments/ESG: Defiance Launches EV-Focused ETF
Defiance, a leading ETF provider, has launched the Defiance Pure EV ETF (EVXX), the first ETF in the electric vehicle (EV) sector to focus solely on EV manufacturers. This ETF aims to provide investors with direct and concentrated exposure to the fastest-growing EV companies, capitalizing on the increasing adoption of EVs globally.
Alternative Investments/ESG: Amundi Launches Euro Government Tilted Green Bond UCITS ETF
Amundi, a leading European asset manager and ETF provider, has announced the launch of a new Euro Government Tilted Green Bond UCITS ETF as part of its expanded Fixed Income ETF range. This ETF offers investors a unique approach to shift their core Euro government bond investments towards a responsible exposure.
Alternative Investments/ESG: Giant Finnish Pension Fund Ilmarinen Invests Nearly $3B In Climate ETFs
Ilmarinen Mutual Pension Insurance, the Finnish pensions insurer, has significantly increased its collaboration with ETFs by investing €2.75 billion (US$2.97 billion) in climate-focused exchange-traded funds. The move reflects the company’s commitment to aligning its passive equities exposure with its climate goals. Ilmarinen, which manages a pension fund worth €57.5bn and provides pensions through private-sector employers, has become the anchor investor in two new climate-focused iShares ETFs launched by BlackRock in the US and Japan.
Fintech: BNY Mellon And MoCaFi Join Hands To Extend Digital Payments To Underserved Communities In The United States
BNY Mellon (NYSE: BK) and MoCaFi, a Black-founded fintech platform, have formed a strategic alliance to bring digital payment options to unbanked and underbanked communities in the U.S. BNY Mellon’s Treasury Services business will provide federal, state, and local governments, as well as corporate clients, with a digital disbursement payment service through MoCaFi’s offering.
Venture Capital: Higher Steaks, Now Rebranding As Uncommon, Raises $30M For Its Cultivated Meats
Uncommon, previously known as Higher Steaks, has announced that it has secured $30 million in Series A funding. The funding round was led by Balderton Capital and Lowercarbon Capital. OpenAI CEO Sam Altman is also an investor in Uncommon.
Venture Capital: Aster’s New Fund Acquires Portfolio Sold By Totalenergies Ventures
Aster, a venture capital firm based in Paris, has completed its first private equity secondary market transaction. The company acquired a portfolio of minority stakes in about twenty companies from TotalEnergies Ventures, the CVC arm of TotalEnergies. This acquisition strengthens Aster’s position in the Climate Tech innovation financing market and demonstrates its international experience and expertise in technologies contributing to carbon neutrality.
Venture Capital: Lightmatter Nabs $154M Series C To Develop Photonic Processors
Photonics leader Lightmatter has raised $154 million in a Series C investment round, tripling its valuation with the participation of prominent investors including Fidelity Management & Research Company, Viking Global Investors, and GV (Google Ventures).
Venture Capital: Real Estate ESG Platform Measurabl Scores $93M Series D
Measurabl, a leading ESG (environmental, social, governance) technology platform for real estate, has closed a $93 million Series D funding round to support its global expansion. The funding will be used to enhance Measurabl’s ESG technology solutions, expand into new markets, and establish global partnerships.
Venture Capital: Carbon Removal Platform CUR8 Scores £5.3M (US$6.6M) Pre-Seed Funding
CUR8 is a company founded by Marta Krupinska, Dr Gabrielle Walker, and Mark Stevenson, with the aim of becoming the market maker for carbon removals. The company recognizes the importance of removing carbon emissions from the atmosphere to limit global warming and reach net zero by 2050. CUR8 raised £5.3 million in pre-seed funding, led by GV (Google Ventures), along with other investors. The funds will be used to expand the team, scale up capacity, and further develop their software platform.
Digital Assets: Tether To Mine Bitcoin In Uruguay Using Clean Energy
Stablecoin giant Tether has announced plans to venture into bitcoin mining using renewable energy in Uruguay. The company intends to invest its resources in renewable energy production as it seeks to diversify its revenue mix to support its USDT stablecoin.
Alternative Investments/ESG: A New ETF From Global X Invests In Carbon Credits
New York-based Global X ETFs has introduced its latest thematic-based fund, the Global X Carbon Credits Strategy ETF (NTRL). This exchange-traded fund invests in carbon credit or allowance futures across various regions and aims to capitalize on the growing importance of decarbonization in addressing climate change. Carbon credits are tradable permits issued by governments that grant the holder the right to emit one unit of emissions per credit, typically equating to one ton of carbon dioxide. Under cap-and-trade programs, companies can exchange these credits to meet their emission limits.