Four investor groups from across the Globe who together collaborate as the Global Investor Coalition released a new snapshot to coincide with COP22 in Marrakesh that underlines the actions institutional investors have taken since the Paris Agreement was finalised.
Investors Got the Signal: Actions in 2016 since the Paris Agreement highlights practical examples of the steps investors have taken in 2016 to engage with companies on carbon-reducing strategies, deploy capital to low carbon assets, decarbonise investment portfolios and engage with policymakers.
Emma Herd, Chief Executive of (Australia’s) Investor Group on Climate Change (IGCC) and speaking on behalf of the Asia Investor Group on Climate Change (AIGCC), said: “The Paris Agreement sent a huge market signal to investors that carbon risk is a financial risk and a major opportunity for low carbon growth. Around the world investors are responding, embedding carbon into risk processes and scaling up investment in low carbon assets.”
No one should assume the election of Donald Trump will thwart climate action in the U.S. or around the world
Chris Davis, senior program director of the Ceres Investor Network on Climate Risk added: “The business case for climate action and sustainability is stronger than ever, and the climate science is incontrovertible so no one should assume the election of Donald Trump will thwart climate action in the U.S. or around the world. Today’s reality is that the transition to the low-carbon economy is irreversible, inevitable and fully underway. More investors and businesses than at any time in history are working to seize the opportunities embedded in this emerging economy because they recognise climate change presents one of the greatest economic opportunities of the 21st century.”
Stephanie Pfeifer, CEO of the (European) Institutional Investors Group on Climate Change (IIGCC) added: “While investors recognise the US election results creates uncertainty about the future direction of climate policy and international collaboration on climate change, nothing has changed with regard to the fundamentals: The latest climate science, the robust global political consensus around the Paris Agreement, the technology dynamics, and the economic imperative for action will continue to inform growing efforts by investors to address the climate crisis and to help secure a smooth transition to a low carbon future.”
The snapshot highlights actions taken by investors who are members of the four major investor groups who work collaboratively as the Global Investor Coalition on Climate Change.
On Friday, November 11, these four networks and three other groups who work with investors (PRI, UNEP FI, and Carbon Tracker Initiative) host an official COP22 side event Beyond Paris: Investor actions to manage climate risk and seize low carbon opportunities. For more details, see the press advisory
The same coalition of groups also collaborates to drive climate action in other key policy forums, for instance, in August this year they wrote to the G20 heads of state calling on G20 nations to double global investment in clean energy, tighten climate disclosure mandates, develop carbon pricing and phase out fossil fuel subsidies.