Brown Advisory, an independent and privately held global investment management firm which oversees more than £109bn ($146bn) in client assets, has opened a new office in Frankfurt, Germany.
In a statement on 14 February, it said the move "followed meaningful inflows from clients based in Germany, Austria and Switzerland (DACH) driven by strong investment performance and demand for the firm's sustainability focused strategies".
Elisa Wagnitz, head of DACH Region for Brown Advisory, is responsible for business development and client relationships across Germany, Austria and Switzerland, and has relocated to Frankfurt to lead the 15th Brown Advisory office.
In 2021, Brown Advisory saw an increase in assets from the DACH region of more than 75% following very strong demand for its UCITS fund range.
This includes the US Sustainable Growth Fund, Global Leaders Fund and Global Leaders Sustainable Fund, which are all classified as Article 8 under the Sustainable Finance Disclosure Regulation (SFDR).
More recently, the U.S. Sustainable Growth Fund and Global Leaders Sustainable Fund have also been awarded the FNG label 2022. Both meet the quality standard for sustainable investments in German speaking countries developed by Forum Nachhaltige Geldanlagen e. V. (FNG; SIF of Germany, Austria, Liechtenstein and Switzerland).
Brown Advisory also hired three new global sustainable fixed income portfolio managers last year, who recently launched their first UCITS fund, which is also classified as Article 8.
The new team are a natural extension of, and fully integrated with, the firm's existing US sustainable fixed income team, focused on developing Brown Advisory's sustainable investment philosophy on a global level, and integrating ESG research and the careful examination of the intended use of bonds' proceeds with fundamental fixed income research.
The strategy invests in a broad range of liquid fixed income instruments, including conventional and inflation-linked government bonds, securitised and corporate bonds, in both developed and emerging markets, as well as using active currency exposure to deliver returns.
As such it will provide differentiated exposure for investors beyond only labelled (‘green' or ‘social') bonds.
Logie Fitzwilliams, head of international business and global head of sales at Brown Advisory, said: "Our international business continues to expand and the new Frankfurt-based office shows our full commitment to the growing client base in the DACH region.
"We've seen strong inflows from local investors who are eager to access the benefits of Brown Advisory's concentrated, active and sustainable equity strategies, and our newly established presence will help us better serve existing clients in these important markets."
Elisa Wagnitz, head of DACH Region at Brown Advisory, said: "Brown Advisory offers an attractive range of strategies that can add real value for clients seeking meaningful returns over the long term.
"Our rigorous commitment to fundamental research coupled with more than a decade of experience in sustainable investing and ESG research means we're particularly well-positioned to fulfil demand for values-based investing, with a variety of UCITS funds meeting the Article 8 designation. We're excited to further strengthen our dedication to clients in this region who share our thoughtful investment philosophy."
Brown Advisory's international business manages assets of around £15bn ($20bn) for individuals, families, charities, institutions and financial intermediaries in the UK, Europe and Asia.
