Top Recent ESG Content: Feb 2022

Roadmaps and Pathways to Net Zero

The adoption of policies that embed a commitment to getting to net zero, and how well companies and countries progress towards this goal, is going to be one of the 'great transition’ issues. Investors will also need to play their part by pressuring governments and companies to set out both short- and longer-term targets and milestones that need to be achieved.

Several of the papers here look at roadmaps and transition routes, with both Candriam and Invesco focusing on macro-level pathways and emissions levels, while Aviva investors suggests that at a more granular level, companies should consider adopting science-based targets. Other papers look at the loss of biodiversity and its effects, the role of carbon pricing and how it might affect investors, and the implications of moving from a linear to a circular economy.

 

Video: Sustainable Agriculture and the Future of Food (Baillie Gifford, 2021)

Baille Gifford looks at the future of food and sustainable agriculture, noting that innovative technologies and ‘disruptor’ companies will be behind many of the changes.  

Economic Transition Monitor – 1st Edition: The path to net zero (Invesco, 2021)

For compliance reasons, this paper is only accessible in certain geographies

Invesco’s first edition of its Economic Transition Monitor focuses on the C20, the 20 largest emitter countries, and looks at recent emission trends. The publication will be updated regularly and will chronicle the path to net zero.

Sovereign Analysis: Is the EU on track for 2050 'Net Zero'? (Candriam, 2022)

For compliance reasons, this paper is only accessible in the UK & Europe

Candriam investigates the EU Roadmap 2050 leading to carbon neutrality, while discussing some of the key changes that will be required, in addition to exploring the range of assumptions that are made.

Investing for Climate Action: Easy as SBTs? (Aviva Investors, Jan 2022)

For compliance reasons, this paper is only accessible in certain geographies

Rick Stathers, Senior GRI Analyst and Climate Specialist, argues that investors need to play their part in battling climate change, and one way to do that is by persuading companies to adopt science-based targets. 

ESG investing in Asia – The continuing evolution (Manulife IM, 2021)

In this report Manulife Investment Management outlines key developments in the Asian sustainable fixed income markets, while also suggesting that an active approach is one that could provide investors with an opportunity set that may not be readily available passively.

Why Biodiversity Is Moving to Top of Mind for Investors (Lazard AM, Jan 2022)

Lazard Asset Management argue that biodiversity is essential for life on earth but is predicted to decline further and more quickly if humans do not change their ways. Ecological collapse because of exploitative and extractive industries is likely to be one of the most pressing threats.  

Understanding the Carbon Price (LGIM blog, Feb 2022)

For compliance reasons, this paper is NOT accessible in the United States and Canada

In this short paper, LGIM initiates coverage of carbon pricing, its role and the implications for investors.  

Why Impact Investing Needs Public Debt Markets (T. Rowe Price, Dec 2021)

For compliance reasons, this paper is only accessible in certain geographies

T. Rowe Price argues that the size, range, and flexibility of the public debt markets should aid the adoption and interest in impact investing.  

Analysing Climate Solutions Investments (State Street, 2022)

In this academic paper from State Street, they investigate the performance of ‘pure-play’ climate solutions companies, and find that the framework they suggest affords some short-term performance pickup.  

ESG Video Series: Artisanal & small-scale gold mining (World Gold Council, 2022)

For compliance reasons, this paper is only accessible in certain geographies

In this short video, the World Gold Council explores the role of small scale and artisanal mining operations in the supply chain and notes the positive economic effects that it can have on local communities. 

Podcast: Biodiversity – Episode three (Federated Hermes, Feb 2022)

For compliance reasons, this paper is only accessible in certain geographies

This podcast, a roundtable discussion with experts from Federated Hermes and NGOs, focuses on deforestation and how it accelerates biodiversity loss. They explore some areas where action is urgently needed, while giving examples of some positive developments in forestry management and community forestry projects in Africa. 

The Wheels of a Circular Economy Go Round and Round (Amundi, 2022)

For compliance reasons, this paper is NOT accessible in the United States

This thematic research paper from Amundi looks at the implications of a switch from a linear to a circular economy, noting that a coalescence of key stakeholders, including companies, consumers, and policy makers will need to work together at every stage of the process. 

Integrating Climate Change into CMAs (Wellington Management, 2022)

Wellington Management introduces climate-related inputs, which include physical and transition risks into their capital markets assumptions process, with some noteworthy results.