Lombard Odier Expands Net-Zero Equity Strategies to US and Japan

The expansion introduces dedicated US and Japan equity funds, both utilizing the firm’s proprietary Implied Temperature Rise methodology. This approach focuses on identifying transition leaders across diverse sectors, including those historically difficult to decarbonize. By anchoring these portfolios to the MSCI USA and MSCI Japan indices, the firm seeks to maintain traditional risk-return profiles while ensuring temperature alignment remains below 2°C.

The US strategy maintains a portfolio of 300 to 350 companies, while the Japan-focused fund holds between 100 and 150. According to Yannik Zufferey, Chief Investment Officer for Core Business at LOIM, the platform’s growth signals a shift in investor appetite. Clients are increasingly seeking scalable, benchmark-aware tools that support long-term economic transition without sacrificing diversification. These funds are intended to serve as core holdings, providing a structured method for investors to participate in the global move toward net-zero targets.