Credit Suisse announced today the publication of its Climate Action Plan for its investment businesses, outlining the strategies and actions to be taken by Credit Suisse Asset Management and Credit Suisse Wealth Management to achieve net zero across their portfolios by 2050.
Credit Suisse initially announced its 2050 net zero ambition in 2020, and last year the bank pledged to align its lending and investment portfolios with net zero emissions by 2050 as well. With the publication of the Climate Action Plan today, the bank is now adding its investment activities on behalf of clients to its net zero goals.
In addition to the 2050 target, the climate action plan also introduces a goal to achieve a 50% reduction in investment associated emissions intensity by 2030, translating to a 6% annual reduction. The 2030 goal applies to the asset and wealth management divisions’ listed equities and corporate bond holdings.
Emma Crystal, Chief Sustainability Officer at Credit Suisse, said:
“As we seek to limit the impacts of climate change, many sectors of the economy will need to adapt and evolve. With a thoughtful strategy and appropriate action, we can lay the groundwork to both manage risk and leverage opportunity for our clients, the economy and society.”
The plan outlines the key focus areas, labelled “Grow,” “Engage,” and “Reduce,” that will be targeted by the wealth and asset management divisions to address portfolio emissions and pursue climate-related investment opportunities. Key actions will include investing in decarbonization leaders and businesses that help facilitate and accelerate the net zero transition, as well as engaging with investee companies, and using voting power, to encourage companies to commit to net zero in order to protect long-term value and to help accelerate the transition.
While prioritizing investments in climate and energy transition solutions and engagement, the plan also includes a strategy to reduce exposure to companies unwilling to transition that fail to respond to engagement and that have substantial exposure to climate-sensitive activities.
Steven Bates, Head of Sustainability Analysis and Solutions, Wealth Managment said:
“Through our Climate Action Plan we have set out a pathway to accelerate climate action through our investment activity. Our clients have a growing appetite and expectation of us, and we are committed to incorporating greater environmentalEnvironmental criteria consider how a company performs as a steward of nature. and socialSocial criteria examine how it manages relationships with employees, suppliers, customers, and the communities where it operates. considerations into the decision-making process in our pursuit of net zero.”
Credit Suisse also announced that it has established a dedicated Net Zero Science-Based Targets Program, aimed at providing oversight and guidance for developing the net zero strategy.
Jeroen Bos, Head Sustainable Investing, Asset Management added:
“We are committed to supporting the transition to a net zero society together with our clients, stakeholders, and investee companies. We trust that this plan will provide valuable insights into and transparency regarding our approach. Tackling climate change and accelerating the transition to net zero are vitally important for society, and we intend to do our part. The time to act is now.”
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