Our long-term ambition is supported by short-term strategies. We have already surpassed our 2025 target of reducing the emissions intensity of selected asset classes by 32 percent.
We have developed an engagement approach designed to create impact in the real economy by encouraging companies to define and implement climate strategies aligned with the goals of the Paris Agreement. We will continue to engage with companies in sectors such as energy, transportation, consumer staples, materials, and industrials.
Our participation in the Climate Action 100+, The Institutional Investors Group on Climate Change (IIGCC), as well as the Principles for Responsible Investment (PRI), connects us with like-minded investors, and provides important platforms for collaborative engagement.
Top emitters
We place particular emphasis on companies that generate the largest share of financed emissions in our portfolios, as well as those with a significant impact on high-carbon-value ecosystems. Engagement with these companies occurs at the C-suite level and through our involvement in Climate Action 100+ and IIGCC.
Climate laggards
As part of our engagement strategy, we have also identified companies that are not adequately preparing for a transition to a low-carbon economy. Using data from the Transition Pathway Initiative, Climate Action 100+, and our own analyses, we identify climate laggards and raise our concerns directly with them.
Where these companies are held in active portfolios, they are flagged to investment analysts, who can engage further on the company’s climate approach ahead of voting. If significant improvements are not observed, we will vote against approval of the financial statements at their Annual General Meetings.
Lobbying
In the context of climate policy, we believe that investors, companies and governments need to work together on ambitious solutions to achieve the Paris Agreement. Negative corporate interest, often represented by third-party organisations, can hinder policy action that aims to mitigate the impacts of climate change. This can cause issues for investors, including legal and reputational risks, and long-term portfolio volatility.
We expect companies to be consistent in their policy engagement in all geographic regions; and to ensure that engagement conducted on their behalf or with their support is aligned with the Paris agreement, in turn protecting the long-term value in our portfolios across all sectors and asset classes.
Date: 16/09/25