Let’s make it happen
Contents
3 Climate change & the role of investors 4 Regulation & Disclosure 5 Temperature & targets 6 Comparing climate indices 7 Shareholder voting 8 Time to take action
The 2015 Paris Conference on Climate Change culminated in the first binding international agreement on global warming and set the stage for one of humanity’s historic challenges.
By providing for the limiting of global warming to “well below 2°C above pre-industrial levels” and to “pursue efforts to limit the increase in temperatures to 1.5°C”, the Paris Agreement committed 195 countries to radical and meaningful change in emissions and climate policy.
Make no mistake: achieving these targets will be a challenge. Yet investors have huge power to effect change. Huge initiatives have already begun: the Net Zero Asset Owner Alliance, representing $5.1trn in assets, explicitly aims to align portfolios with that more ambitious 1.5°C target.
It’s a challenge simply to interpret climate science, understand regulation, disclosure, and benchmarking. This handbook has been written as a practical guide for investors to put the Paris Agreement goals into practice, providing all the key information for climate decision making.
This short digital handbook covers six key areas: the relevance of climate change for investors, the key regulatory and disclosure changes, a case for temperature targeting, how to understand climate indices, an overview of shareholder voting behaviour, and the steps we can all take on climate action. A longer form handbook is also available should you wish to learn more. I hope you find it useful.
Matthieu Mouly, Chief Client Officer, Lyxor ETF
Read the full handbook