Nikko Asset Management Co., Ltd. (“Nikko AM”) and Osmosis (Holdings) Limited (“Osmosis”) entered into a legally binding strategic partnership on November 6th which will see Nikko AM take a minority stake in the London-based sustainable investment firm.
Regarding the strategic partnership, Osmosis CEO Ben Dear remarked:
“Osmosis is excited to sign this partnership with Nikko AM which is based on a shared vision of the scale of the opportunity, an alignment of values, and a belief that the capital markets have a pivotal role to play in directing capital towards those companies that are leading the transition to a more sustainable planet. Through Nikko AM’s established distribution networks, we have already made significant strides in Asia, including our first Japanese institutional investor. We look forward to further raising awareness of our unique investment approach in the region.”
Key Features of the Agreement
- Nikko AM to take minority stake in Osmosis Investment Management*
- Nikko AM to be given exclusive distribution and client service rights in the Asia-Pacific region (excluding Australia and New Zealand) as well as the Middle East for Osmosis investment products and strategies
- Nikko AM to take a seat on the Osmosis board of directors
- Acquisition is subject to regulatory approval by the Financial Conduct Authority of the UK (FCA) and is likely to be completed by the end of April 2024
On behalf of Nikko AM, President Stefanie Drews commented:
“We are delighted to be able to enter into partnership with a company of such exceptional credentials in the sustainable investment space. Osmosis is truly unique, with an innovative approach that has proven itself over the years. In addition, Osmosis makes for a strong cultural fit, and therefore a perfect partner with whom we look to grow together.”
About Osmosis Investment Management:
Osmosis launched in 2009 and is majority-owned by management and employees. The company currently manages over $13.6bn* in sustainable assets and is headquartered in London, with a growing global presence. Osmosis believes that targeting better risk-adjusted returns and delivering significant environmental impact do not need to be mutually exclusive endeavours. Through its unique Model of Resource Efficiency, the company has demonstrated that sustainability metrics, if quantifiable and objective in nature, can be applied to mainstream equity portfolios to generate alpha.
The Osmosis team of quantitative environmental analysts and portfolio managers is singularly focused on delivering three levels of impact. Better risk-adjusted returns, measurable environmental reductions, and an active engagement programme to promote better corporate environmental disclosure.
Osmosis counts Government Pension Funds, State Pension Funds, Insurance Companies, Foundations, Endowments, Family Offices, and Banks amongst their client roster spanning the UK, Europe, the Nordics, North and South America, Asia, and Australia.
For more information about Osmosis, please visit www.osmosisim.com
*Assets under management and advisory as of 30 September 2023.
About Nikko Asset Management:
With US$219.2 billion* under management, Nikko Asset Management is one of Asia’s largest asset managers, providing high-conviction, active fund management across a range of equity, fixed income, multi-asset, and alternative strategies. In addition, its complementary range of passive strategies covers more than 20 indices and includes some of Asia’s leading exchange-traded funds (ETFs).
Headquartered in Asia since 1959, Nikko Asset Management and its subsidiaries employ personnel representing around 30 nationalities, including approximately 200 investment professionals**. The firm has a presence through subsidiaries or affiliates in a total of 11 countries and regions. More than 400 banks, brokers, financial advisors, and life insurance companies around the world distribute the firm’s products.
The investment teams benefit from a unique global perspective complemented by the firm’s historic Asian DNA, striving to deliver consistent excellence in performance. The firm also prides itself on its progressive, solution-driven approach, which has led to many innovative funds launched for its clients.
For more information about Nikko Asset Management and to access its investment insights, please visit the firm’s homepage.
*Consolidated assets under management and sub-advisory of Nikko Asset Management and its subsidiaries as of 30 June 2023.
** Including employees of Nikko Asset Management and its subsidiaries as of 30 June 2023.
For more information, please contact Lisa Harrison on 07716 912832 or [email protected].
This document is issued by Osmosis (Holdings) Limited, a London-based investment management group. Osmosis Investment Management UK Ltd (“OIM UK”) is an affiliate of Osmosis Investment Management US LLC (“OIM US”). Osmosis Investment Management AUM includes discretionary assets under management of OIM US and OIM UK and assets invested in model programs provided by OIM US and OIM UK.
NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFIT OR LOSSES SIMILAR TO THOSE SHOWN. The Osmosis Resource Efficient Core Equity Fund is not available for U.S. Investors. A Client’s account will be managed by Osmosis based on the strategy, but the actual composition and performance of the account may differ from the Fund due to differences in the timing and prices of trades, and the identity and weightings of securities holdings.