Asset Managers Churn Out Defense Funds Once Viewed as Toxic
- Is ‘D’ the latest addition to the ESG investment strategy?
- EU leaders are planning for big increases in defense spending
This article is for subscribers only.
As governments across Europe ratchet up defense spending, money managers who previously judged the sector too controversial to touch are taking note.
There’s currently a proliferation of portfolios focused on defense assets, with fund tickers such as WAR and NATO doing the rounds. Data compiled by Bloomberg shows the number of defense-themed funds doubled last year to a record 47, following decades during which such products — if they existed at all — were only to be found in the single digits. Data through mid-February indicates the current pace isn’t letting up.