Carbon Neutral Credit
Carbon neutrality, the investment theme of the decade. The aim is to deliver a diversified Carbon Neutral Credit strategy, that would be more ambitious than the goals outlined in Paris agreement.
Carbon Neutral Credit is a global, high impact, forward looking thematic carbon reduction credit strategy with an ambitious carbon neutral objective. We use a unique, intuitive and science based methodology that identifies, targets and tracks issuers who are leading the way in cutting carbon emissions and issuers who develop carbon savings.
This is a strategy that encourages and supports limiting global warming below the targets of the Paris Agreement. Carbon reduction is a global challenge, and therefore a global opportunity.
Climate change is very quickly becoming a defining driver of the global economy, society and financial markets, and will increase in prominence over coming years, decades and beyond. While carbon neutrality by 2050 might seem a long-term goal today, environmental regulations are already becoming tougher. Therefore, the need for companies to have a credible strategy to reduce carbon emissions is a nearer term necessity, with clear milestones and investor engagement to follow up on execution. Our strategy aims to support companies that will set themselves clear targets to become carbon neutral over a short period of time.
Our passion to make a carbon neutral world a priority leads us to not only examine the physical and transition risks posed by climate change, but proactively engage with companies to encourage the transition towards a lower carbon world, with investment/divestment as the incentive.
This is a strategy that gets to the heart of the climate change emergency. Credible and verifiable, sponsoring the reduction of global carbon emission.
- Investing in a forward-looking way in global issuers that have stated clear and ambitious goals to reduce carbon emissions and issuer that generate emission savings
- Combining the issuers in a forward looking way to achieve net carbon neutrality at portfolio level by 2025
- Investment universe defined by carbon emissions based on CDP, science based targets initiative and proprietary data not by sector or activity...
- ...combined with forward-looking, ESG integrated fundamental research
Developing a Carbon Neutral Credit portfolio
Source: Schroders. For illustrative purposes only.
- Schroders global expertise - significant resources of a global platform
- Specialist Sustainable Credit, Sustainability and Data Insight teams working together
- Innovation in product design, sustainability and climate change related research and investment tools
- High conviction through in-depth, forward looking integrated research platform across Asia, Europe and the USA