ING to Offer Socially Responsible Asset Allocation Portfolios for Retirement Plan Investors
Pax World’s ESG ManagersTM Portfolios, subadvised by Morningstar Associates, join ING’s defined contribution fund lineup
In an effort to provide customers with socially responsible investment options, ING’s U.S. Retirement Services business announced today that it will be offering the ESG ManagersTM Portfolios to participants in many ING-administered defined contribution retirement plans.
Launched in 2010 by Pax World Management LLC, and subadvised by Morningstar Associates, LLC, the ESG ManagersTM Portfolios are a series of non-proprietary, multi-manager risk-based asset allocation funds that integrate environmental, social and governance (ESG) factors into their investment analysis and decision making.
Until now, the ESG ManagersTM Portfolios have been available only through financial advisors. ING is the first defined contribution provider to offer these funds to workplace retirement plan investors. Initially, the portfolios will be available to plan sponsors and participants in ING’s education, government, healthcare and not-for-profit market segments.
"Our plan sponsors have told us they want more socially responsible investment choices for their employees. At the same time, there is a growing need for greater asset-allocation and risk diversification features," said Brian Comer, president of Public Markets for ING U.S. Retirement Services. "Working with Pax and Morningstar to deliver this unique offering addresses both requirements. We’re making it easier to select a socially responsible investment while providing a multi-managed, ‘fund-of-funds’ approach to help diversify risk."
The ESG ManagersTM Portfolios represent a unique, one-stop solution for capturing returns from socially responsible investments. They consist of four funds that follow a sustainable approach: ESG ManagersTM Aggressive Growth Portfolio, ESG ManagersTM Growth Portfolio, ESG ManagersTM Moderate Portfolio, and ESG ManagersTM Conservative Portfolio.
Pax World serves as the investment advisor to ESG ManagersTM Portfolios, while Morningstar Associates is charged with manager selection, asset allocation and portfolio construction and monitoring. Managers selected by Morningstar Associates to provide sub-advisory services include a dozen of the best-known names in the sustainable-investing industry.
"Today’s investor increasingly understands the connection between such things as good environmental management or good corporate governance, on the one hand, and long term financial health, on the other," said Pax World President and CEO Joe Keefe. "They want to invest in companies with sustainable business models and ESG Managers Portfolios were designed to give investors broad exposure to such companies. ING has now brought these funds, and this concept, to the retirement market, where we think plan sponsors and participants will eagerly embrace these new investment choices."
"There’s growing awareness and usage of socially responsible investments. Since 2000, assets in socially responsible mutual funds have grown almost 150 percent, significantly outpacing overall mutual fund asset growth," said Peng Chen, president of Morningstar’s global investment management division. "We’re pleased that ING is making these portfolios available on its defined contribution platform. Now, retirement plan participants will be able to access diversified asset-allocation portfolios composed of many of the industry’s leading managers that incorporate ESG factors alongside fundamental financial factors in their security selection."
ING has been serving the needs of retirement plan sponsors for over 40 years, and is one of the leading providers in the industry. The business supports employers and customers across all 50 states, with offices and representatives in the local communities where it does business.
ING’s U.S. Retirement Services business holds top rankings in the defined contribution industry with more than $300 billion in assets under management and administration. It is one of the few providers that serves all types and sizes of customers, including corporate, government, healthcare, not-for-profit, K-12 and higher education employers.
ING and its companies are not affiliated with Pax World Management Corp., ALPS Distributors, Inc., Morningstar Associates or Morningstar, Inc. Morningstar Associates does not act in a capacity of an advisor to individual investors.
ING is a global financial institution of Dutch origin offering banking, investments, life insurance and retirement services to over 85 million private, corporate and institutional clients in over 40 countries. With a diverse workforce of more than 105,000 people, ING is dedicated to setting the standard in helping our clients manage their financial future.
In the U.S., the ING (NYSE: ING) family of companies offers a comprehensive array of financial services to retail and institutional clients, which includes life insurance, retirement plans, mutual funds, managed accounts, alternative investments, institutional investment management, annuities, employee benefits and financial planning. ING holds top-tier rankings in key U.S. markets and serves approximately 20 million customers across the nation. For more information, visit www.ing.us.
About Pax World Management LLC
Pax World Management LLC, the investment adviser to Pax World Funds, is a recognized leader in Sustainable Investing, the full integration of environmental, social and governance (ESG) factors into investment analysis and decision making. Pax World launched the U.S. financial industry’s first socially responsible mutual fund in 1971. Today, Pax World offers a comprehensive platform of Sustainable Investing solutions including Pax World Funds, a family of no-load mutual funds; ESG Managers™ Portfolios, multi-manager asset allocation funds powered by Morningstar Associates; ESG Shares®, the first family of ETFs devoted exclusively to a Sustainable Investing approach; and separately managed accounts for institutional investors. For more information, visit www.paxworld.com.
About Morningstar Associates, LLC
Morningstar Associates, LLC is a registered investment advisor and a wholly owned subsidiary of Morningstar, Inc. Morningstar Associates, along with Morningstar’s other investment advisory subsidiaries, comprise the Morningstar Investment Management division. This division provides independent investment management and consulting services to institutions and advisors and has approximately $138.7 billion in assets under advisement and management as of March 31, 2011. For more information, visit corporate.morningstar.com.
You should consider ESG ManagersTM Portfolios’ investment objectives, risks, and charges and expenses carefully before investing. For this and other important information, please obtain a fund prospectus by calling 877.374.7678 or by visiting esgmanagers.com. Please read it carefully before investing. ESG Manager Portfolios have a limited operating history. Distributed by ALPS Distributors, Inc.
Morningstar Associates, LLC, serves as portfolio manager to the ESG ManagersTM Portfolios, but does not serve in the capacity of investment advisor to individual investors. Morningstar Associates is not affiliated with Pax World Management Corp. or ALPS Distributors, Inc.