ESG Clarity’s Net Zero Database was launched to take a closer look at how asset managers are playing their part in the green transition.
Read the first analysis of the data here: Asset managers’ net-zero targets not showing real-world impact.
Scroll down for the full table of data
Methodology
Using data the Net Zero Asset Managers’ initiative (NZAM) published in May 2022, ESG Clarity looked through all 83 asset managers’ targets to establish how they are being set.
The signatories themselves are encouraged to use one or a combination of these methodologies for target-setting:
• Paris Aligned Investment Initiative’s Net Zero Investment Framework
• Science Based Targets initiative for Financial Institutions
• Net Zero Asset Owner Alliance Target Setting Protocol
ESG Clarity went beyond the methodologies chosen to the actual commitments themselves. Targets were grouped into six categories, four of which are generally used at the portfolio decarbonisation level:
- absolute emissions reduction
- emissions intensity reduction
- temperature target and
- net zero alignment for assets or emissions.
Two are classed by NZAM as “portfolio coverage” targets and here include:
- engagement goals and
- issuers themselves setting targets.
The NZAM initiative suggests groups use a variety of the above and recommends they use portfolio coverage targets that show real-world impact and portfolio decarbonisation targets.
