Philip
Ripman
manages
the
$1
billion
Storebrand
Global
Solutions
fund,
with
a
focus
on
sustainability.
But
some
of
the
stocks
in
his
portfolio
might
surprise
you.
As
well
as
green
energy
stocks,
Ripman
also
invests
in
chipmakers,
cybersecurity
stocks,
pharmaceuticals
and
more.
The
fund’s
principle
is
to
avoid
companies
that
make
over
5%
of
their
revenues
from
fossil
fuels,
tobacco,
alcohol,
war
and
other
vice-related
activities,
instead
investing
across
the
themes
of
smart
cities,
circular
economy,
equal
opportunities
and
renewable
energy.
The
strategy
appears
to
have
paid
off
over
the
long
term:
it
ranks
top
for
10-year
annualized
returns
(15%)
on
Morningstar’s
list
of
global
mega-cap
equity
funds.
Ripman
shared
three
tips
for
investing
sustainably
on
CNBC
Pro
Talks
,
including
how
to
play
the
renewables
theme.
Renewables
are
‘cheaper’
right
now
Ripman
said
that
renewable
energy
stocks
look
relatively
cheap
and
offer
“a
lot
of
opportunity”
right
now.
“I
think
the
renewable
side,
like
I
mentioned,
for
once
is
actually
becoming
a
cheaper
prospect,”
Ripman
said
last
week,
adding
that
it
was
overvalued
in
2020.
After
some
volatility
in
subsequent
years,
Ripman
said
valuations
were
“now
back
down
to
a
level
that
makes
them
really
interesting
prospect.”
“These
are
areas
that
are
going
to
see
capital
inflows,
because
of
the
fact
that
country
level,
city
level,
state
level,
have
all
committed
to
make
sure
that
we
do
have
more
renewable
energy
available
than
previously,”
he
added.
“So
it’s
an
area
that
has
to
grow
if
we’re
going
to
succeed
with
all
the
various
goals
that
we’ve
been
set
at
various
levels.”
Look
across
the
supply
chain
Investors
should
think
more
broadly
than
just
pure
plays,
according
to
Ripman.
“We
like
to
look
at
it
as
various
parts
of
the
value
chain,”
he
said,
including
different
technologies
that
play
into
a
theme.
“We’d
look
at
the
entire
value
chain
—
some
parts
of
it
might
be
overvalued,
other
parts
of
it
might
not
have
as
much
publicity
as
others,
and
also
not
necessarily
be
as
a
known
commodity
within
the
sustainable
investing
sphere,
which
means
it
might
not
come
with
an
ESG
premium
tag
that
we
do
see
some
companies
exhibit
within
that
area,”
Ripman
said.
Examples
of
this
from
his
fund
include
U.S.
firms
Solaredge
a
nd
Enphase
Energy
,
which
make
solar
micro-inverters
and
energy
storage,
as
well
as
South
Korean
company
Samsung
SDI,
which
manufactures
batteries.
Consider
what’s
needed
in
the
future
The
four
themes
in
Ripman’s
fund
—
smart
cities,
circular
economy,
equal
opportunities,
and
renewable
energy
—
are
what
he
believes
will
be
“essential
in
years
to
come.”
“And
I
think
that’s
one
of
the
core
concepts.
When
we
talk
about
sustainability
as
an
angle
for
investing,
it’s
really
boiling
it
down
to:
what
do
we
need
more
of
in
the
future,”
he
added.
Playing
into
these
themes,
the
top
holdings
in
his
fund
comprise
include
chipmaker
Nvidia
,
cybersecurity
firms
Palo
Alto
and
Crowdstrike
,
and
consumer
goods
giant
Unilever
.
Under
smart
cities,
his
holdings
include
Schneider
Electric
,
electric
vehicle
maker
BYD,
and
water
technology
firm
Xylem
.
There’s
also
more
room
for
growth
in
sustainable
investments,
Ripman
said.
“We
think
about
climate
change
as
an
issue
where
there’s
a
lot
of
capital
already
committed,
there’s
a
lot
of
regulation
in
place
that
will
support
more
spending
in
this
issue
that
I
think
will
be
quite
sticky.
I
think
these
are
areas
that
we
need
to
stay
invested
in
over
time,”
Ripman
told
CNBC
Pro
Talks.