The IT University’s investment profile is sustainable
The IT University has invested part of its assets in close collaboration with its investment manager, Danske Bank. In 2024, the University adopted a more sustainable investment profile. But what exactly is an investment profile, and how can you ensure that it is sustainable? Find the answers here.
The IT University has a balanced portfolio consisting of both equities and bonds. The University has chosen to work with Danske Bank on managing these investments in accordance with an established investment profile. The investment profile defines the overall framework and criteria for the investments. The profile has been adjusted continuously over the years, most recently in 2024, when the University adopted a profile with an increased focus on sustainability. In connection with this change, University Director Georg Dam Steffensen said:
“While financial returns are important, we believe that sustainable investments are a long-term strategy that delivers both economic and societal benefits.”
The IT University’s investments
To ensure diversification and maintain a resilient portfolio, the IT University has given Danske Bank a mandate to invest in eight to ten different investment funds. Each fund has its own profile, for example in terms of asset classes (equities or bonds) and geographical focus. The funds also vary in the level of ambition they have with regard to sustainability.
All the funds apply a common set of exclusion criteria, which are set out in their respective prospectuses. This means, for example, that companies involved in tobacco or thermal coal, as well as companies that do not comply with international norms and standards such as the UN Global Compact principles, are excluded from the IT University’s investment universe.
In addition, the IT University has asked Danske Bank to invest part of the portfolio in sustainable investments. Consequently, part of the portfolio is invested in funds that, alongside the objective of generating attractive returns, also aim to invest sustainably. To identify sustainable investments, the activities and products of thousands of companies are analysed to assess whether they contribute positively to one or more environmental or social objectives. These objectives are linked to the UN Sustainable Development Goals.
Responsible investment is complex
Regardless of how much emphasis an investor places on sustainability in their portfolio, the starting point remains the fundamental objective of achieving robust returns over time. At the same time, consideration is given to the societal impact that investments may have, both positive and negative.
To address this complexity, Danske Bank publishes its policies, instructions, guidelines, and methodologies on its website. For individual funds, it also publishes regularly updated lists of companies that are excluded from the funds’ investment universe. This enables customers and other stakeholders to understand the principles that guide the investments and the decisions made on their behalf.
The IT University maintains an ongoing dialogue with Danske Bank regarding the management of the University’s assets. The University can ask questions about the Bank’s approach, follow up on specific investment decisions, and assess whether the investment profile continues to reflect the IT University’s values and expectations.