After securing pledges from their existing customers, PensionBee have taken steps to launch their first Fossil Fuel Free Fund in partnership with Legal & General.
The PensionBee Fossil Fuel Free Plan is one of the first funds to completely exclude fossil fuel producers, tobacco companies, manufacturers of controversial weapons and persistent violators of the UN Global Compact.
What is PensionBee?
PensionBee is a Robo Advisor platform that aims to provide a pension service that allows savers to consolidate all their existing pensions into one, low cost provider. PensionBee currently have over £1.2 trillion in total assets under their management specialising in pensions de-risking, life insurance, workplace pensions and retirement income.
PensionBee launched their Future World Fund in 2017 as part of their first steps at providing an ethical investment tool in order to maximise pension pots in a sustainable and ethical way. However, whilst this was a positive step in the right direction, like many other ethical funds, the Future World Fund is not completely devoid of fossil fuels.
Fossil Fuel Free Plan
The Fossil Fuel Free Fund is made up of 100% equity and whilst it has an international presence, it’s focus lies largely in North America. Whilst it does potentially offer higher rewards than other funds on offer at PensionBee, it is considered higher risk, however, with a total annual fee of just 0.75%, it is a low cost option for investors wanting to invest in line with their ethical beliefs, and with an emphasis on protecting the planet for all our futures.
The Fossil Fuel Free Fund was launched in December 2020, following PensionBee’s successful campaign urging customers to pledge their support by committing to switch to the new Fossil Fuel Free Fund as soon as it was made available. PensionBee required a commitment of over £100,000 in order to launch the plan to its customers which it managed to achieve.