Companies that lobby against climate-friendly laws and policies are putting the overall goals of the Paris Agreement on climate change at risk and have a "weak recognition of the challenges ahead," Jan Erik Saugestad, CEO of Norway's largest private investment firm Storebrand Asset Management AS, said in an exclusive interview.

In the latest episode of ESG Insider, an S&P Global podcast about environmental, social and governance issues, Saugestad talked about the new climate policy Storebrand Asset Management, a subsidiary of insurer Storebrand ASA, announced in August.

Many banks and asset managers have announced plans to divest from carbon-intensive companies or cease financing certain fossil-fuel projects and companies, but Storebrand took its divestment strategy a step further. The Norwegian investment firm, which has more than $90 billion in assets under management, opted to exit investments in companies that it judged to have lobbied against climate change policies.

The companies it divested from for alleged anti-climate lobbying practices include Exxon Mobil Corp., Chevron Corp. and Southern Co.

Under its new policy, Storebrand also will no longer invest in companies that earn over 5% of their revenues from coal or oil sands, although Saugestad in the interview noted his firm has made some exceptions to that rule. The asset manager also plans to increase capital flows into low-carbon, climate-resilient and transition companies and provide clients with a range of sustainability and low-carbon funds to help them decarbonize their portfolios.