Besides the ownership of LEO Pharma, the LEO Foundation holds financial assets of approximately DKK 14,5 billion.
The main objectives of the investments are to ensure continued financial capability to support LEO Pharma’s long-term continuation and strategic development, as well as provide funds for the LEO Foundation’s philanthropic activities. In line with these objectives, we strive to generate the best possible returns while retaining a sensible, well-balanced risk profile.
Our investments are diversified across different asset classes with a main focus on liquid assets such as listed shares, government bonds, covered bonds and credit. Furthermore, a minor part of the portfolio can be allocated to more illiquid alternative investments such as structured credit, private equity, infrastructure or real estate.
The Foundation’s financial assets all held in the wholly-owned subsidiary, LEO Holding, where a small team of highly experienced investment professionals is focused on creating value through top-down asset allocation, manager selection and the selection of alternative investment components. All assets are currently managed externally by professional asset managers.
As part of our commitment to act ethically and responsibly throughout all our activities, the LEO Foundation has adopted an environmental, social and governance (ESG) policy for our investment activities. The policy is based on adherence to the Ten Principles of the UN Global Compact, which form the basis for ethical, human and corporate behaviour supporting long-term sustainability and success.
As our investments are managed through the use of external investment managers, we work actively with these managers to ensure compliance with the policy. Our investment team reviews the investment managers as an integrated part of the investment process, and managers are required to report yearly on ESG factors and matters including, where relevant, exited investments, engagement with companies, and corrective actions carried out by the managers.