Achieving Climate Goals Now: A Breakthrough Sustainable Climate Strategy.
Achieving the ambitious goals outlined in the Paris Agreement requires that investors do more than simply reduce their portfolios’ carbon footprints. This understanding was one of the key drivers behind the development of the State Street Global Advisors Sustainable Climate Strategy. Follow our Steps to Sustainability and learn how our ESG strategies could help you meet the climate change challenge.
Innovative, Effective, Ready
Achieving the ambitious goals outlined in the Paris Agreement requires that investors do more than simply reduce their portfolios’ carbon footprints. This understanding was one of the key drivers behind the development of our Sustainable Climate Strategy. Since we introduced this customizable equity framework, we've received a remarkable level of interest from pension funds, corporations, sovereign wealth funds and asset owners around the world who are committed to addressing climate risk through their portfolio management.
Multifaceted Delivery
Our innovative framework establishes a new frontier in the effort to build climate change thematically into equity portfolios. The Strategy is defined by the following characteristics:
Mitigation + Adaptation To target net carbon emission reductions in the portfolio, the Strategy reallocates capital away from companies with high current and embedded carbon emissions and brown revenues to companies that generate green revenues from lowcarbon technology. In addition to this focus on mitigating the drivers of climate change, the Strategy also increases exposure to companies that are actively adapting to the actual or expected future effects of global warming and other environmental changes , helping investors to build more climateresilient portfolios in the process.
Aligns with the Paris Agreement
The Strategy aligns with the ambitious goals of the Paris Agreement and prepares portfolios for the possible introduction of a carbon tax and other regulatory initiatives that could accompany the transition to a low-carbon economy.
19 Μay 2020
Climate Action