Thematic investing
Circular Economy
Recycling at the end of a product’s lifecycle is not enough. Making a dent in resource destruction on the front end and waste on the back end requires a complete overhaul of manufacturing and production chains. Circular solutions extend product life but also reincarnate resources for reuse.
% of used materials that are recycled globally
the number of Earth’s resources we are expected to consume by 2050
USD trillion, additional GDP growth by shifting to a circular economy
Why invest in circular economy ?
The linear “take, make, dispose” economy is depleting natural resources and generating waste at an unprecedented pace. As populations grow, cities expand and living standards increase around the globe, resources are becoming even scarcer, and waste generation is intensifying. Without change, by 2050, society will need the equivalent of three planet Earths to sustain our rates of consumption. In contrast to linear production, circular solutions focus on maximizing product lifespans and resource efficiency.
In addition to recycling, the circular economy strategy invests in innovative companies creating solutions to improve a product’s quality, longevity, and waste footprint across the entire life cycle. The process starts already with pre-production design, extends to how they are manufactured and distributed as well as how they can be repaired, and their material ingredients harvested and reused.
The strategy
The Circular Economy strategy invests in companies creating circular solutions across the manufacturing value chain starting with input materials that are more sustainable and simulation software for waste-efficient product design and manufacturing.
It’s also using the power or AI and digital solutions to enable rapid information sharing that not only enhances traceability and distribution speed but also predicts repairs and prevents breakdowns so products stay fit for the job. End-of-life solutions include biodegradable packaging and companies specialized in repair, reuse and recycling that conserve materials for reuse.
Recycle value and returns in your portfolio with an investment in circular solutions.
