How to align financial portfolios with a 1.5DEGC future?
At the Innovate4Climate conference in Barcelona, Ecofys, a Navigant company, organised an expert discussion on the low carbon future of the financial sector. Under the title "Aligning financial portfolios with a 1.5^oC future" Ecofys' climate strategy and sustainable finance experts brought
together a panel of climate leaders in the finance industry: EIB, Credit Agricole CIB, PGGM and ACTIAM.
The interactive session also brought in further views from financial institutions in the audience. Most organisations confirmed to have ample experience with carbon footprinting but agreed that carbon exposure is not a good indicator for climate-related risk. Several financial institutions
expressed that they perform climate-related risk assessments, but not yet to the full extent, which would include both transition and physical risks of climate change.
All panellist organisations have climate targets at portfolio level and use climate scenarios to align their portfolios with low-carbon pathways. ACTIAM has an overall target for all assets under management and, according to their assessment in line with the Paris Agreement, has signed up to
the Science Based Targets initiative.
For more insights from the event, dive into the related presentation or get in touch with our experts.