Dutch pension fund ABP aims for $32.5 billion in 'impact' investments by 2030

AMSTERDAM (Reuters) - ABP, the Netherlands' largest pension fund, said on Monday it would cut investments with a large climate impact, while targeting more money to companies and projects that help improve society and the environment.

The Dutch fund, with about 502 billion euros ($545 billion) in assets, said it aimed to have at least 30 billion euros in "impact investments" by 2030, for example in projects for affordable and sustainable housing and energy.

ABP said it would aim to invest at least a third of that sum in the Netherlands, and also move ahead with an earlier announced plan to cut investments in polluting companies that don't improve their sustainability record.

"Companies with a business model and activities that harm the climate and biodiversity and that show no sign of improvement don't fit in ABP's portfolio," the fund said.

ABP said it would take a "careful" and phased approach to cutting investments, looking first at its portfolio in developed markets before moving to upcoming markets.

The fund in recent years already sold its shares in large fossil fuel companies and spurned investments in tobacco and many arms producers.

($1 = 0.9221 euros)

(Reporting by Bart Meijer; Editing by Sherry Jacob-Phillips)