In the "Responsible Investment: Our Progress on Active Ownership and Solutions in 2022" report, Aegon Asset Management (Aegon AM) outlines its evolving efforts towards responsible investing amidst an industry landscape that prioritizes climate action and greenwashing regulation. In 2022, Aegon
Schroders' "Climate change and cities: Adapting real estate investment decisions" advocates for a novel approach in assessing physical climate risk, urging the real estate sector to infuse this aspect into their financial decision-making. The research posits that an innovative blend
The text introduces the Supertrends of 2023, discussing the evolving long-term equity investment themes which have taken shape since the inception of the Supertrends in 2017. The first set of themes includes the geopolitical reconfigurations captured in the "Anxious societies"
The text articulates the vital role private equity can play in transforming a 'grey', high-carbon economy into a 'green' one, reflecting sustainable practices. The author highlights the necessity of long-term investments for sustainable growth and prosperity, despite existing pressures to
Capital Market Assumptions March 2023 The text revolves around the exploration of asset allocation strategies against the backdrop of climate, social and geopolitical disruptions. The author highlights the consequences of the Ukraine conflict on the global energy supply and inflation,
The text focuses on the increasing importance of climate change management in determining sovereign and credit risk. Notably, green bonds are being used to steer capital towards climate change prevention and adaptation. Moreover, supranational organisations are seen as key in
In de laatste dertig jaar is er aanzienlijke vooruitgang geboekt op het gebied van wereldwijde voedselproductie en hongerbestrijding. Helaas lijkt deze trend de afgelopen vijf jaar te zijn omgekeerd. Experts wijzen op verschillende onderliggende trends, waaronder een groeiende wereldbevolking die
Capital Market Assumptions March 2023 The annual edition of Capital Market Assumptions takes a more in-depth approach this year by considering the impact of climate change and social considerations on economic variables and asset class behaviors. The need to balance
The banking industry's landscape varies dramatically on either side of the Atlantic. Europe is focused on regulatory issues, particularly around climate risks and disclosure, with new regulations set to take effect in December 2023. These rules will require banks to
The text focuses on exclusion lists, which help investors align their portfolios with their values, and the hidden tracking error they can cause. Recent broad energy exclusions due to climate concerns have introduced noticeable tracking error impacts, presenting challenges for
Divest or engage to meet climate commitments? In "Divest or engage to meet climate commitments?", the main theme revolves around reconciling net zero goals with investments in fossil fuel companies. The text discusses the challenges faced by asset managers in
In the face of China's clean energy dominance, the US and EU are poised to expand their clean technology efforts. The US has implemented industrial policies with protectionist elements to incentivize global companies to manufacture clean energy products domestically, while
In this research summary, the author discusses the rising importance of biodiversity in investment decisions. As the fight against climate change gains momentum, investors and regulators are increasingly considering environmental sustainability in their portfolios. Biodiversity, a complex and multifaceted concept,
In "Capital Market Line: Quarterly Five-Year Forecast of Relative Risk and Return Across Asset Classes – The Pendulums Are Swinging," the authors discuss a reset of inflationary forces in 2023 and the likelihood of a profit recession rather than an
In "Robeco’s approach to biodiversity – Towards the integration of nature-related risks, opportunities, and impacts in our investments," the authors emphasize the role of the financial sector and asset management industry in preventing biodiversity loss. They discuss Robeco's strategic priorities,
Incorporating Climate Change: 30-Year Forecasts for Asset Class Performance and Returns This paper, titled "Long-run asset class performance: 30-year return forecasts," discusses Schroders Economics Group's annual thirty-year return forecasts for a range of asset classes, incorporating the impact of climate
Long-run asset class performance: How climate change will impact asset returns – an update Incorporating the impact of climate change, Schroders Economics Group presents a 30-year return forecast for cash, bonds, credit, equities, and real estate. This analysis utilizes Oxford
The IPCC report warns that the current pace and scale of climate action are inadequate to tackle climate change, leading to intensified adverse impacts from human-caused change, including extreme weather conditions. However, the report offers hope, stating that mainstreaming effective
Africa is set to benefit from new financial infrastructure that is designed to boost liquidity in its sovereign debt and attract private investment into its climate-linked bonds. Can it work for africa and beyond? For more than a decade, pockets of
Biodiversity Restoration The business case for investing in biodiversity is strong: UBAM – Biodiversity Restoration (BRF) invests in biodiversity “fixers” – solution providers that aim to protect or restore biodiversity. ▪ Infrastructure programmes and regulations drive additional growth for the
"De enorme groei van het geproduceerde en menselijke kapitaal, gaat ten koste van het natuurlijk kapitaal. Dat is niet langer zo vol te houden.” In allerlei opzichten komt er een steeds duidelijker prijskaartje te hangen aan de wijze waarop bedrijven
De baanbrekende deal op de VN-top om het biodiversiteitsverlies een halt toe te roepen wil bedrijven en beleggers in de frontlinie plaatsen in de strijd om de natuur te beschermen.
In this Q&A, Lisa Beauvilain and Chris Dodwell explain why biodiversity loss is critically important for investors to consider, and how investment opportunities are arising from reducing pressure on the natural world. Why does Impax see biodiversity loss as a
Part 4: Taxonomy What is the EU environmental taxonomy? The European Union’s environmental taxonomy is a classification system that translates the EU’s climate and environmental objectives into criteria for economic activities to be considered “environmentally sustainable” or “green”. For an
Biodiversity, human activity and corporates Biodiversity is part of the Earth’s natural capital and considered the cornerstone of a well-functioning planet. The many benefits to humans provided by natural capital are often integral to the provision of clean drinking water,
Overview Sustainable investment strategies continue to grow and have moved from the niche into the mainstream. According to the Global Sustainable Investment Alliance (GSIA), sustainable investment assets under management in five major markets (Europe, United States, Canada, Australasia and Japan)
ESG is an acronym for Environmental, Social, and Governance. It was first proposed by the United Nations Environment Programme as a concept in 2004, providing a complementary perspective for evaluating company performance and management in addition to financial performance. Its
Schroders Economics Group produces thirty-year return forecasts on an annual basis, which incorporates the impact of climate change. This is Part 1 of our paper where we outline the methodology used to incorporate climate change into our return assumptions. In
Because of the 2015 Paris Agreement, the development of ESG investing and the emergence of net zero emission policies, climate risk is certainly the most important topic and challenge for asset owners and managers now and will remain so over
The past 30 years have seen a bigger improvement in human prosperity than all of the past centuries combined. We have built more roads, buildings and machines than ever before. More people are living longer and healthier lives and access
Het verlies aan biodiversiteit vormt een minstens even grote bedreiging voor de leefbaarheid van de aarde als klimaatverandering. De wijze waarop het probleem wordt aangepakt, heeft grote gevolgen voor de beleggingswereld. In Nederland is de uitstoot van broeikasgassen in het
Bedrijven en beleggers hebben te lang hun ogen gesloten voor de bedreiging die biodiversiteitsverlies met zich meebrengt voor de welvaart en groei voor de mensheid. Ze moeten nu de natuur herstellen en de economie duurzamer maken. In de afgelopen 30
Naarmate de opwarming van de aarde voortduurt, moeten steden zich aanpassen aan een frequenter voorkomen van dodelijke hittegolven en moeten ze investeren in nieuwe technologieën en innovatie. Madrid en Miami worden vaak tot de beste steden ter wereld om in
In this report, which shares LGIM research on sustainability themes ahead of the climate summit in Sharm El-Sheikh, we argue that these objectives are not mutually exclusive; rather, they are inextricably linked. The document, penned by our Investments and Investment
Mitigating and adapting to climate change is both a matter of survival and of economic rationality. Investing in mitigation and adaptation will reduce the economic costs of climate change. In that sense, it saves money. But compared to an alternate
Impact Investing In terms of asset class, impact investing has traditionally been associated with private capital. Public equities make up just 17% of the USD 502 billion in assets managed in impact strategies1 , a negligible amount compared with the
Managers of private market mandates seem generally unprepared to support clients looking to assess climate related risks and report in line with the requirements of the Task Force on Climate-related Financial Disclosures (TCFD). Data availability is particularly poor within private
According to the International Energy Agency, in order to meet the Paris Agreement’s goals (climate stabilization at “well below” 2 degrees Celsius global temperature rise), mineral requirements for clean energy technologies would need to quadruple by 2040. In addition, in
Publicly listed corporations account for a significant share of global greenhouse gas emissions. We estimate that the Scope 1 and 2 emissions of listed large and mid-cap firms in developed and emerging economies account for approximately one fifth of all
Completing the circle of life Source To invest in the transition to a circular economy requires an investment-oriented framework. Broad frameworks, such as the EU Taxonomy, are available and their definitions are becoming more precise, but they are not sufficient
Biodiversity will become one the largest investment megatrends in our lives, and the theme is at an inflection point Biodiversity: The neglected existential risk Much of the investment industry’s rhetoric is about capital – whether that’s financial, produced, human or
Green Bonds KWARTAALUPDAT Een obligatie is niet zomaar ‘groen’ te noemen. Om dit predicaat te mogen dragen, moet een obligatie aan verschillende criteria voldoen. Een dubbelinterview met een uitgever én een belegger wijst bovendien uit dat er meer is wat
Only a few market events in an investor’s career really matter, and among the most important of all are superbubbles.1 These superbubbles are events unlike any others: while there are only a few in history for investors to study, they
De groeiende sector van hernieuwbare energie in China biedt sterke groeivooruitzichten omdat het land ambitieuze nettonuldoelstellingen stelt. Van luchtvervuiling en stijgende zeespiegels tot bodemverontreiniging en waterschaarste, China, 's werelds grootste uitstoter van broeikasgassen, kampt met …
1. De context Maatschappelijk verantwoord beleggen (MVB) is de afgelopen jaren bij pensioenfondsen in een stroomversnelling geraakt. Wet- en regelgeving leggen steeds meer nadruk op aandacht voor milieu-, sociale en governance-factoren (ESG-factoren) in het beleggingsproces. Initiatieven zoals het IMVB-convenant (Sociaal
1. Introduction The STOXX WTW Climate Transition Indices are a new approach to managing climate risk that offer investors a systematic and transparent way to incorporate climate transition risk into their investment decisions. 1 The index methodology leverages WTW’s proprietary
Om de opwarming van de aarde tegen te gaan, moet de wereld misschien verder gaan dan het bereiken van netto nul en beginnen met actief koolstof uit de atmosfeer te verwijderen. Maar liefst 140 landen en honderden bedrijven over de
Understanding the potential impact of climate change and the interaction between different stakeholders, initiatives, metrics, and tools presents challenges. There is a growing need for investors to understand the risks, opportunities and the impact on investment portfolios that come with
Climate change and carbon emissions in particular have recently received a lot of attention from governments, non-governmental organizations (NGOs), businesses and the general public, and rightly so. But we must be wary of carbon emissions tunnel vision and instead take
Capital Goods Companies, the Enablers of the LowCarbon Industrial Revolution As an ever-increasing number of nations announce ambitious climate objectives, the global economy is embracing net zero carbon as a common direction. For example, the European Union targets a 55%
