Increased demand for green bonds has spurred the standardisation and review process of the asset class, according to some investment specialists. However, investors are urged to proceed with caution given higher prices or ‘greenmiums’, alongside a lack of control as to how the money is ultimately spent by the issuers. Martin Foden, head of sterling … Read more
Investors have again noted the absence of the term ‘ESG’ in Larry Fink’s annual letter, with the BlackRock CEO instead focusing on retirement concerns and how countries are using natural gas alongside renewables – something he has called “energy pragmatism” . In his annual chair letter, released on 26 March, Fink emphasised a retirement crisis looms … Read more
Despite efforts from the banking sector to communicate their decarbonisation strategies in recent years, banks are facing further scrutiny for skewing their net-zero targets in favour of the lower emitting areas of their business. HSBC’s 2023 annual report published targets covering ‘facilitated emissions’, calculated with a weighting of only 33%. But, in a separate ESG … Read more
There has been an explosion of interest in sustainable strategies from institutional investors over the past year despite challenging conditions in 2023. This is according to Jean Ryan, SVP of business development and client services for KBI Global Investors, under the Amundi Group. She told FSA: “There has been an explosion of interest in climate action-oriented … Read more
By 2030, nearly half the world’s population will face water shortages. As supplies dwindle, droughts intensify, and demand escalates, we stand at the precipice of a worldwide water emergency according to the latest World Water Development report. The report underscores the stark reality of deviation from achieving Goal 6 of the UN Sustainable Development Goals (SDGs) — to … Read more
Aviva Investors has expanded its responsible investment team within its real assets unit with three new hires. Reporting to Edward Dixon (pictured), head of responsible investment, real assets, at Aviva Investors, Phillipa Grant joins as director of sustainable investments, Elizabeth Ortiz has been appointed as an associate and Jeremy Ho joins as an analyst. “Our … Read more
Five of the biggest passive fund managers – Amundi, BlackRock, DWS, Legal & General Investment Management (LGIM) and UBS AM – are “turning a blind eye” to the climate impact of their passive investments, according to an analysis from Reclaim Finance. With the number of passively managed investments growing, Reclaim Finance examined 430 ‘sustainable’ passive funds managed … Read more
Morningstar Indexes, in collaboration with Morningstar Sustainalytics, has launched a series of indexes to deliver broad exposure to companies leading their sector peers in their readiness for – and action towards – climate transition. The Morningstar Low Carbon Transition Leaders (LCTL) indexes are a series of nine new global, regional and single country benchmarks underpinned … Read more
The Sierra Club and the Sierra Club Foundation, represented by Earthjustice, have filed a lawsuit against the Securities and Exchange Commission (SEC) in the US Court of Appeals over its final rule requiring public companies to disclose climate-related risks to their businesses and plans to manage or mitigate them. The non-profit organisations accuse the SEC of “capitulating” … Read more
Among the flurry of announcements from last year’s COP28, delegates launched the Capacity-building Alliance of Sustainable Investment (CASI), an international organisation aimed at providing training programmes and e-learning products on sustainable finance to emerging markets. As part of the launch announcement, CASI said it will “develop and consolidate educational content” in collaboration with its members, tailor … Read more