Meiji Yasuda Life to invest $43m in new ESG engagement fund

This is part of a business alliance with SDG Impact Japan.

Meiji Yasuda Life Insurance Company has formed a capital and business alliance contract with SDG Impact Japan (SIJ) to create Asia’s first ESG engagement fund focused on social impact.

As part of the business alliance, Meiji Yasuda plans to invest $43m (JP¥5b) in this fund.

Meiji Yasuda also plans to enhance its endeavours such as responsible investment (ESG investment and finance, stewardship) with SIJ’s support based on their advanced knowledge.

Meiji Yasuda and SIJ will also implement an employee exchange plan to share the know-how related to the world trends of sustainability area, formation and operation of ESG funds and engagement.

Both companies will also co-research and implement projects which contribute to local communities through alliances with local governments and banks, such as support towards small to medium-sized enterprises on their sustainable development goal (SDGs) endeavours through offering management tools that analyse and evaluate issues that will occur when they are working on their own SDGs.

Additionally, Meiji Yasuda will take over the capital increase by allotment of new shares to third parties from SIJ and receive common shares. Meiji Yasuda’s shareholding ratio after receiving the stock will be 10%.

“By sharing a global network and high-level knowledge that SIJ has, and by building a wide cooperating relationship in the sustainability field through this alliance, Meiji Yasuda will further strengthen our promotion of sustainability initiatives and endeavours of responsible investment as an institutional investor,” Meiji Yasuda said in a statement.