Rathbone Greenbank Investments joins the Net Zero Asset Managers initiative
Rathbone Greenbank Investments has joined 43 new investor signatories in signing up to the Net Zero Asset Managers initiative to support global efforts in reducing greenhouse gas emissions. The Net Zero Asset Managers initiative now has a total of 73 signatories representing $32 trillion in assets under management.
The Net Zero Asset Managers initiative is a leading group of global asset managers committed to supporting the goal of net zero greenhouse gas emissions by 2050 or sooner, in line with the global ambition set out in the Paris Agreement to limit warming to 1.5°C above pre-industrial levels. Delivery of the commitment prioritises the achievement of real world emissions reductions within the sectors and companies in which signatories invest.
To fulfil the requirements established by the initiative, signatories have also made a further nine commitments, including:
- Set interim targets for 2030 for assets to be managed in line with the net zero goal, consistent with a fair share of the 50% global reduction in CO2 identified as necessary by the Intergovernmental Panel on Climate Change (IPCC);
- Implement a stewardship and engagement strategy, with a clear escalation and voting policy, that is consistent with the ambition for all assets under management to achieve net zero emissions by 2050 or sooner;
- Create investment products aligned with net zero emissions by 2050 and facilitate increased investment in climate solutions.
Why has Greenbank decided to join the Net Zero Asset Managers initiative?
Greenbank has a long history of climate-aligned investing. Over the last 20 years, it has taken steps to:
- integrate climate risk into investment decisions;
- increase its investments in industries and companies that are contributing to climate change mitigation and adaptation;
- engage with companies and policymakers to encourage actions consistent with the low-carbon transition.
Greenbank was an early member of the ‘Aiming for A’ initiative in 2012, a small coalition of 10 investors representing £230 billion in AUM, engaging with 10 UK companies on climate risk. Fast forward to today and the successful engagement model pioneered by Aiming for A has evolved into the international Climate Action 100+ coalition, linking 545 investors representing $52 trillion in AUM and ensuring that companies can no longer ignore the risks and opportunities that climate change presents.
The Net Zero Asset Managers initiative is an opportunity for the investment community to stand alongside the companies we are engaging with and demonstrate we are also serious about the transition to a net zero economy.
Head of Rathbone Greenbank, John David says “The Net Zero Asset Managers initiative provides us with a clear roadmap to catalyse the continued transition of our investment portfolios to net zero greenhouse gas emissions by 2050 or sooner. It represents an opportunity for us to build on our longstanding approach to climate-aligned investing at Greenbank – to advance our understanding of climate risk, maximise on exciting opportunities to invest in the energy transition and continue to empower our clients to invest their money as a force for good through our engagement activities."
About the Net Zero Asset Managers initiative
The Net Zero Asset Managers initiative is a group of international asset managers committed to supporting the goal of net zero greenhouse gas emissions by 2050 or sooner, in line with global efforts to limit warming to 1.5 degrees Celsius; and to supporting investing aligned with net zero emissions by 2050 or sooner. The initiative will be managed globally by six Founding Partner investor networks, namely: Asia Investor Group on Climate Change (AIGCC), CDP, Ceres, Investor Group on Climate Change (IGCC), Institutional Investors Group on Climate Change (IIGCC) and Principles for Responsible Investment (PRI). The initiative is also endorsed by The Investor Agenda, of which the investor networks are all founding partners.