Danish firm Danfonds is in discussions with cleantech company C-Questor to launch a sub-fund that will invest in early stage companies that capture and remove greenhouse gases from the atmosphere. Caron Class Shares, under the Frontier Markets wing, will also invest in companies exploiting alternative energy sources such as solar, wind, biomass, and water which produce little or no greenhouse gases.
The carbon share class will initially be closed to outside investors and initial seed funding will come from C-Questor and other sources.
Danfonds is also in negotiations with an external team of managers to launch an African credit fund. Company CEO Daniel Broby said, “The vast majority of African countries have rudimentary fixed income markets, with debt instruments of short duration. Government bonds do not exist in most African countries but their arrival and/or increased sophistication is imminent.”