LUXEMBOURG, LU 13 May 2024 — Nordea Asset Management (NAM) is pleased to announce the launch of a sustainable labelled bond impact family starting with two funds, Nordea 1 – European Corporate Sustainable Labelled Bond Fund and Nordea 1 – European Sustainable Labelled Bond Fund. Both of these funds have been classified as Article 9 under SFDR1. The funds will be managed respectively by Nordea’s Credit and Rates teams.

The sustainable and labelled bonds asset class has developed significantly in recent years. The European market is currently valued around EUR 480bn2 and continues to grow, with tailwinds coming in particular from the EU’s need to fund sustainable projects. This segment of the market now includes Green Bonds, Social Bonds, Sustainable Bonds and Sustainability-Linked bonds, all of which have recognised standards3 for issuers to ensure that either their proceeds are used for projects aligned with sustainable objectives or that at the issuers are meeting sustainability performance targets.

With this maturing market we see growing demand for sustainable bonds funds from asset allocators, whom NAM sees moving from a more “thematic” approach to asset-class based investing. These new Article 9 funds offer asset allocators new solutions to use in their sustainable portfolios.

Christophe Girondel, Global Head of Distribution at Nordea Asset Management:
“With more than 30 years’ experience in ESG investment and as a trailblazer in ESG bond funds, NAM is launching these Article 9 products designed to deliver both returns and tangible impacts. These building blocks are ideal for asset allocators creating sustainable Fixed Income portfolios.”

NAM’s new strategies combine the alpha-generation skills of NAM’s market-leading Credit and Rates teams with the expertise of NAM’s award-winning RI team.4 To ensure adherence to state-of-the art ESG standards and real-world impact, these funds apply a double ESG due diligence on both the issuer and the use of issue. All holdings meet NAM’s rigorous Sustainable Investment requirements and thus both funds are classified as Article 9 under the SFDR1.

The launch of these new funds comes as NAM celebrates the 3-year anniversary of the Nordea 1 – Global Impact Fund, an Article 9 equity impact fund, and highlights NAM’s commitment to deliver real world change and tangible impact.

Nordea 1 – European Corporate Sustainable Labelled Bond Fund (ISIN: BP-EUR LU2797543282; BI-EUR LU2797543365) will be managed by NAM’s Credit Team. Its primary focus is EUR-denominated corporate investment grade labelled bonds and non-labelled corporate bonds whose issuers are involved in activities that contribute to an environmental or social objective.

Nordea 1 – European Sustainable Labelled Bond Fund (ISIN: BP-EUR LU2794622899; BI-EUR LU2794622113) will be managed by Nordea’s Fixed Income Rates Team’s main focus is EUR-denominated investment grade labelled bonds issued or guaranteed by sovereigns, sub-sovereigns, supranational or government owned entities.

For more info on sustainability-related aspects of the funds, visit:

Link to our glossary:

The following risks are materially relevant to both funds:
Credit risk: A bond or money market security, whether from a public or private issuer, could lose value if the issuer’s financial health deteriorates. Derivatives risk: Small movements in the value of an underlying asset can create large changes in the value of a derivative, making derivatives highly volatile in general, and exposing the fund to potential losses significantly greater than the cost of the derivative.

The following risk is also materially relevant to Nordea 1 – European Sustainable Labelled Bond Fund:
Covered bond risk: Usually issued by financial institutions, backed by a pool of assets (typically, but not exclusively, mortgages and public sector debt) that secure or “cover” the bond if the issuer becomes insolvent. With covered bonds the assets being used as collateral remain on the issuer’s balance sheet, giving bondholders additional recourse against the issuer in case of default. In addition to carrying credit, default and interest rate risks, covered bonds could face the risk that the collateral set aside to secure bond principal could decline in value.

For more information on risks the funds are exposed to, please refer to the section “Risk Descriptions” of the Prospectus.

1Sustainable Finance Disclosure Regulation. The funds have sustainable investment as their objectives.
2ICE BofA Euro Corporate Green, Social & Sustainable Bond Index as of 18.04.2024.
3E.g. ICMA’s Labelled bond principles: The Principles, Guidelines and Handbooks » ICMA (,
4Best ESG Team Europe 2023