What does it mean if my investor is a signatory to Climate Action 100+?

September 23, 2020

The Climate Action 100+ is an initiative to ensure that the 100 largest corporate carbon emitters, accounting for two thirds of global industrial emissions, along with 61 other corporations with the potential to lead the clean energy transition, take action on reducing their carbon impact. 

“To date, more than 450 investors with more than USD $40 trillion in assets under management have signed on to the initiative.”

The Climate Action 100+ was initially conceived of in September 2016 at the French Mission to the UN at a meeting with CalPERS. It was officially launched in December 2017 at the One Planet Summit with the goal of engaging with companies to implement a strong governance framework, reduce carbon emissions across supply chains, and provide better environmental disclosure data.

Since the launch of the Climate Action 100+, the pledge has seen a 65% growth in investor signatories. Currently, 51% of the pledge’s signees are asset owners, 48% are asset managers, and 3% are engagement service providers.

To join the Climate Action 100+, investment companies have to sign the “Climate Action 100+ Sign-on Statement” which outlines the expectations and commitments of the signee. Currently, over 500 companies with over $47 trillion AUM have signed onto the statement. 

The Climate Action 100+ progress report gives an analysis of the effects of the initiative by sector. The report shows a threefold increase in the number of companies targeted by the Climate Action 100+ that have committed to implementing the recommendations of the TCFD.