All pension savings in P+ focus on responsible investments, and our Policy for responsible investments applies across all asset classes. And so do our climate targets.

However, some members want to have their pension invested with an even stronger focus on sustainability than what is offered in our standard product. 
Accordingly, P+ has become the first occupational pension fund to introduce an investment profile with an enhanced focus on sustainability in the form of P+ Sustainable. 

Enhanced focus on responsibility

P+ Sustainable offers among other things an increased focus on human and labour rights, the environment, biodiversity, climate, responsible taxation and governance matters.

With P+ Sustainable you benefit from an increased number of climate-friendly investments, with the objective of making your pension carbon neutral by 2030. We choose more sustainable investments, and we fully deselect a number of companies and sectors, including weapons, tobacco, alcohol and fossil fuels. 

Part of P+ Life cycle

P+ Sustainable is technically an investment profile within P+ Lifecycle. This means that the insurance terms are equal to P+ Lifecycle. It also allows you to choose from three risk levels – high, middle and low – just as you can in P+ Lifecycle.

Just as P+ Lifecycle, P+ Sustainable provides exposure across multiple asset classes and a large number of individual investments.

In other words, P+ Sustainable is a full market-rate product which adjusts your risk according to your proximity to retirement. This means that you take on a higher risk in the early years, with the risk gradually decreasing as you near retirement. This approach allows you to potentially achieve higher returns in the early years, while experiencing fewer fluctuations as you near the age when you will start drawing from your savings. 

You can read more about P+ Life cycle here

Comparable expectations for risk, costs and returns

Currently, investments in infrastructure, real estate and unlisted equities are the same in P+ Lifecycle and P+ Sustainable. We are, however, working towards establishing an independent portfolio of these so-called alternative investments for P+ Sustainable in the future.

The two portfolios primarily differ in terms of listed equities. When we apply stricter sustainability criteria, certain investments are deselected. While P+ Lifecyle contains 2,000-3,000 equities, P+ Sustainable includes only 300-500 equities that meet stricter deselection criteria.

Our overall expectation is that both risk, costs and returns in P+ Sustainable will be comparable to P+ Lifecycle long-term. However, the increased focus on sustainability may result in different fluctuations in returns for P+ Sustainable. While there is broad diversification of risk in P+ Sustainable, it is not as extensive as in P+ Lifecycle, as P+ Sustainable has fewer individual investments due to the stricter deselection criteria.