We expect California Carbon Allowances (CCAs) to recover from 2024 losses as clarity on supply reductions emerges. Meanwhile, impact private investment flows will favor strategies with faster distributions and commercial validation. Additionally, headwinds for private diverse manager allocations should ease, but the overhang of emerging funds may lead to consolidation or shutdowns, challenging managers. California […]
December 2024
Integrating net zero across our firm is a journey, not an event. The way the investment world understands climate has been steadily evolving, and as the industry has developed its thinking, we have been evolving our processes and capabilities. Nearly 20% of our clients by assets have included net zero objectives in their investment policy, […]
November 2024
Yes, we believe that private investment in climate solutions would continue apace in a second Trump administration, given strong demand for clean energy, supportive and resilient US government policies, and robust investment opportunities that will continue to be attractive to many investors. Long-term capital flows into climate solutions reflect market-driven structural tailwinds. The drivers of […]
September 2024
In our 2023 ‘From Policy to Implementation: A Net Zero Playbook for Investors’, we laid out why and how an investor might incorporate climate goals into their portfolio without compromising its financial goals. Subsequent experience has shown us new ways to streamline the process, as investors often get bogged down in reporting and activities that […]
September 2024
We expect more companies will set science-based targets to reduce their emissions and develop credible transition plans to meet their targets. We believe funds raised by natural capital strategies will hit a new record and that California carbon allowances will outperform global equities. 2024 Should Be the Year of the “Transition Plan” Simon Hallett, Head […]
December 2023
To accelerate net zero objectives, investors are well placed to leverage their voice as asset owners through stewardship and engagement activities with investments not aligned with a net zero pathway. Climate-related engagement can yield significant positive outcomes, and there are multiple ways to engage depending on an investor’s capacity and resources. Recent research shows that […]
October 2023
The 2023 Net Zero Investment Consultants Initiative Progress Report underscores our commitment to achieve net zero greenhouse gas emissions by 2050 or sooner. This first progress report, published in September 2023, details initiatives in client education, investment manager assessments, and portfolio alignment with net zero targets to drive real-world emissions reductions. Achieving net zero is […]
September 2023
Yes, the transition to a low-carbon economy is producing a myriad of productive ways to put capital to work. Considerable capital will be needed to fund the massive investment required over coming decades. Investors looking to maximize impact should invest in strategies that lean into recent policy initiatives (e.g., the Inflation Reduction Act [IRA]) and […]
August 2023