PFA Climate Plus

Your pension is your most important climate investment

PFA Climate Plus enables you to invest your pension savings in particularly climate-friendly investments. You can select PFA Plus with the intended investment profile and risk level and then allocate a portion of your savings to extra climate-friendly investments.

PFA Climate Plus is based on three concrete climate goals

When PFA invests pension savings it is always based on responsibility, sustainability and based on the Paris Agreement and the UN Sustainable Development Goals. With PFA Climate Plus you can go one step further in supporting the climate-friendly transition. It is both manageable and flexible since the climate objective is based on three concrete climate goals.

From the beginning, the equity portfolio in Climate Plus emitted 60 percent less carbon than the global equity index (MSCI ACWI)1.



As we approach 2025, the ambition is for the entire product to be CO2-neutral2.


As we approach 2030, the ambition is for the entire product to be CO2-negative2, removing more CO2from the atmosphere than the investments emit 

1 The MSCI All Country World Equity Index measures CO2 by Scope 1 and Scope 2 (see later in the text) in the listed equity portfolio in tons of CO2 emitted per million USD invested.
2 We attempt to achieve this goal by investing in forestry and technology that removes CO2.

How we will ensure the fulfilment of the climate goals

To make sure that we meet our climate goals while working to secure the best possible return for our customers, we will measure carbon emissions for our portfolios on an ongoing basis and compare them with the global index. As the model shows, the shares in PFA Climate Plus emit 75 % less carbon than the global index, while all PFA's equities currently emit 44 % less carbon.

Source: MSCI - CO2 figures are calculated as average for the year of 2023 based on monthly metrics.
Updated: 31


PFA obtains figures from the global equity index, MSCI

PFA’s work with climate goals depends on the ability to measure and monitor our equity investments’ CO2 emissions. This is not straightforward as there is still a lack of adequate data for many assets. Therefore, as a default, PFA only measures systematic CO2 emissions from the equity portfolio and not from e.g. the bond portfolio or our alternatives.

PFA’s assessments and benchmarks are based on data from the MSCI ACWI (All Country World Index), which annually publishes estimates for the CO2 emissions of individual companies. Even though MSCI is currently the market standard for measuring CO2 emissions from an equity portfolio, the data used is still subject to a degree of uncertainty. This is partly because a lot of data is retrospective and may be a year or two old; and partly because there are still many companies that do not even publish data on their CO2 emissions. In the latter case, MSCI itself assesses emissions by using comparable companies in the same industry and locality.

MSCI’s assessment takes into account three different aspects of a company’s CO2 emissions. These are known as ‘Scopes’. While there is reasonably reliable data for Scopes 1 and 2, Scope 3 is subject to great uncertainty and is difficult to calculate. Consequently, it is not currently included in the measurement or benchmark of PFA Climate Plus.

• Scope 1 is the CO2 emitted by a company’s activities – e.g. manufacturing, etc.
• Scope 2 is the CO2for which a company is indirectly responsible – e.g. CO2 from energy produced for the company.
• Scope 3 is the CO2 emitted by the company’s other indirect activities: in other words, sources that companies do not own, control or manage. This might be, for example, the application of a company’s products. 

A better climate is a common goal

Climate-friendly investments may include wind turbines and solar energy, but they may also include many other things. Many companies, both large and small, in virtually all industries focus on their climate footprint, and they do so in very different ways. At PFA, we invest in both companies and projects, and here you can find a selection of the investments that are part of PFA Climate Plus.

Sustainable hybrid ferries reduce the CO2 emission
PFA involved in major production of sustainable batteries for electric cars

Republic Services Inc.

Republic Services Inc. is an American refuse disposal company that is leading the way in the green transition when it comes to reusing waste or turning it into energy. The company handles non-hazardous waste from households and companies, and it has an environmentally-friendly focus both with respect to handling waste and careful transport. This is why their vehicles are increasingly powered by natural gas rather than petrol. 

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Republic Services Inc. is highlighted on CDP’s (carbon disclosure project) A list as a leading climate transition company, and it is the first American refuse disposal company to have validated their goals of reducing carbon emissions leading up to 2030. 

Nidec Corp

Nidec is a Japanese manufacturing company that is making massive investments in establishing itself as a market leader in supplying engines for electric vehicles (EVs). Among other things, the company produces a variety of different categories of electric engines such as hard drives and power steering units in cars. Not only does Nidec have strong relationships in the car industry, it also has a long history of cost management leadership and innovation. 

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These characteristics are the prerequisites for Nidec’s venture on becoming the leading producer of EV engines and gaining a 40 % market share over the next decade. This development is assessed as being realistic as the car industry transitions from building cars with internal combustion engines to building cars with electric engines and thus achieving zero emissions from the vehicles.  

See the full list of stocks contained in the PFA Climate Plus equity portfolio here

Abbvie Inc
Adobe Inc
Advanced Micro Devices
Alphabet Inc Inc
Anz Group Holdings Ltd
Apple Inc
Asahi Group Holdings Ltd
Autodesk Inc
Automatic Data Processing
Bank of New York Mellon Corp
Bank of Nova Scotia
Cadence Design Systems Inc
Chubb Ltd
Cisco Systems Inc
Cleanaway Waste Management Ltd
Colgate-Palmolive Co
Eaton Corp PLC
Ecolab Inc
Godaddy Inc
Great-West Lifeco Inc

Hewlett Packard Enterprise
Home Depot Inc
Iberdrola SA
Ing Groep Nv
Johnson Controls International plc
LVMH Möet Hennessy Louis Vuitton
Metlife Inc
Microsoft Corp
National Bank of Canada
Nestle SA
Novo Nordisk A/S
Novozymes A/S
Nvidia Corp
Orsted AS
Republic Services Inc
Restaurant Brands Intern
Roche Holding AG
S&P Global Inc

Sherwin-Williams Co
Siemens AG
Solaredge Technologies Inc
Sony Group Corp
Sungrow Power Supply Co LT-A
Tesla Group Ltd
Tesla Inc
Trimble Inc
Unilever Plc
UnitedHealth Group Inc
Vestas Wind Systems A/S
Visa Inc
Wells Fargo & Co
Xinyi Solar Holdings Ltd
Xylem Inc
Yaskawa Electric Corp
Zurich Insurance Group AG

The stock list was updated on 26 October 2023

PFA Plus vs. PFA Climate Plus

More climate-friendly investments but the same risk and return potential

Climate-friendly investments should not have a cost on the return. Therefore, the risk level and expectations for the return in PFA Climate Plus are the same as in PFA’s other savings solution, PFA Plus. However, the return will develop differently because the products are invested differently.

Many of the investments in PFA Climate Plus are also included in PFA Plus, but not necessarily vice versa. This is due to the extraordinarily high climatic requirements, which only a limited number of companies can fulfil. Accordingly, PFA Climate Plus contains far fewer companies than PFA Plus. This can cause major fluctuations in the return because there are fewer assets to balance each other. But a pension involves savings in the long-term and this basically means that you will receive the same risk level and expected return potential by investing your savings in a more climate friendly way with PFA Climate Plus.

Only customers with PFA Plus Market Rate Saving have the opportunity to choose PFA Climate Plus. You can contact PFA on 70 12 50 00 and get an answer on whether you can place your investments in PFA Climate Plus.

Overview of the difference between PFA Plus and PFA Climate Plus

The chart below illustrates a comparison of the two products on the basis of a number of parameters:

Parameters PFA Plus  PFA Climate Plus
Responsible investments and active ownership ✔ 
Extra focus on climate
Exclusion of fossil fuels* – 
CO2 emission in terms of the global stock index -43 % -75 %
Goal to be CO2-neutral by 2050 2025
Alternative investments and properties Approx. 23 % currently Approx. 20 % over time
Risk in relation to PFA Plus
Comparable risk with PFA Plus**
Expected return in relation to PFA Plus
Same long-term return as PFA Plus
APR 0.65 - 0.96 % 0.70 - 0.96 %
Scaling down towards retirement ✔ 
* It is an exclusion of oil, gas and coal companies (exclusion of GICS energy classification + BICS Energy ex. Renewables)
** The equity portfolio in PFA Climate Plus consists of fewer shares (approximately 60) and has a core theme of reduced climate impact. This means that the concentration risk is greater in PFA Climate Plus. At the same time, PFA Climate Plus has a so-called scenario risk if, for example, the political and business climate focus shifts significantly in relation to the current one.

Specific criteria for PFA Climate Plus

Here you can see the climate criteria that apply to the various assets of PFA Climate Plus: 

Like PFA’s other investments, the PFA Climate Plus portfolio is assessed on the basis of the requirements we have set for our responsible investment policy. There is also an additional regard for climate, which means, for one thing, that investments in oil, coal and gas companies are excluded. It also means that the equity portfolio will be far more focused on climate-friendly companies. Whereas the current equity portfolio in PFA Invest includes approximately 1,000 companies, currently the equity portfolio in PFA Climate Plus includes only approximately 60 companies.

When it comes to bonds, to a far greater extent than in PFA’s other investments, PFA Climate Plus will use so-called ‘green’ bonds, issued for the funding of measures that help tackle the climate challenge. The same requirements apply to corporate bonds as to shares. There is no investment in bonds from oil, coal and gas companies, and bond issuers must have a climate-positive business model. PFA will also invest in ordinary government and mortgage bonds.

PFA Climate Plus will also use derivatives (financial contracts for assets) based on shares, interest rates, etc. to ensure optimal risk management. Equity derivatives are subject to the same requirements as the equity portfolio in PFA Climate Plus.

Alternative investments and properties
Alternative investments and properties are a very important part of the existing PFA Plus product. The idea is also for PFA Climate Plus to invest approximately 20 % of the portfolio in alternative investments and properties. These investments must also meet the climate requirements that apply to PFA Climate Plus. Therefore, the development of the alternative and property portfolio is expected to be a gradual process.

Extra climate-friendly savings solution

Through PFA’s Investment Guide at, you can identify your risk appetite and your preference for sustainable investments.
The guide consists of a number of questions and produces a recommendation based on your replies.