Our road to net zero
Accelerating the transition to a net zero world: our commitments as a responsible investor and business.
The road to a net zero world is challenging to navigate and requires a collective effort. Every individual, company, and government must play its part. There isn’t one single answer or path to solving this challenge, but we want to be one of the leaders on this journey: in our investment choices, the products we offer, the way we engage and vote, and manage our business. We actively invest with purpose and for the greater good, and stand by our convictions while balancing the need to deliver long-term value to clients.
Acting with conviction
We believe that our fiduciary duty goes beyond delivering returns to our clients. It is also about investing responsibly, driving climate action and social progress, and ensuring the long-term sustainability of the world we live in.
As at 2021, 41% of our eligible Assets Under Management (AUM) are on course to reach net zero by 2050 or sooner, and by 2030, the Co2 footprint of these assets should have decreased by 50% compared to 2019.
Our aim is to continue to grow the proportion of net zero aligned AUM in 2022. And as a founding investor of the Net Zero Asset Managers Initiative (NZAMI) launched in December 2020, we are committed to achieve net zero emissions across our portfolios by 2050 or sooner, as well as playing a key role in helping AXA Group realise their ambitious climate goals.
As a business, we are working to become a net zero business by 2050, and we are applying a three-step methodology to make this happen: measure, reduce and compensate. We have already committed to reduce our own Co2 emissions by at least 25% by 2025.
Acting bravely and openly
Engagement and dialogue with companies and clients is crucial to influencing the journey to net zero. We recognise that the transition will come with some challenges, and whilst we will allocate more and more capital towards climate solutions and other net zero-aligned assets, we will continue to finance those which we believe are effectively transitioning.
We have reinforced our climate engagement and stewardship policy, with a view to divest from climate laggards (a focused list of companies considered material in both portfolios and on climate change) if after three years of constructive engagement not enough progress has been made.
Acting with others
We have always understood that by taking collective action with our peers and pooling our efforts and influence, we have the power to effect tangible change. We will continue to channel more capital towards responsible solutions to our clients, such as our sustainable investing range, as well as offering education programmes on Environmental, Social, Governance (ESG) topics for our clients and employees.
We believe a global approach to climate action from regulators is essential to ensure success in implementation of sustainable finance and real economy policies, and we are actively involved in steering groups and industry initiatives such as the NZAMI, Net-zero asset owner alliance (NZAOA), The Net Zero Asset Managers initiative (NZAM) and Climate Action 100. At the World Climate Summit recently we asked our industry peers to act decisively with us to influence companies that are not taking climate change seriously, through our decisions on capital allocation.
Vision 2045: AXA IM - A responsible asset manager
We are proud to be part of Vision 2045, a UN-backed campaign that brings together leading companies from around the world to showcase their support for the UN’s Sustainable Development Goals and the core principles of fighting climate change, delivering sustainability and driving diversity and inclusion.Find out more
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We believe as a major global investor, business and employer, we have a role in generating positive and measurable progress for the global economy, the planet and the communities in which we live.
How to invest for the people and planet
Our sustainable investing strategies are at the forefront of responsible investing at AXA IM Core. The strategies here are designed to help clients target specific sustainability goals around issues such as climate change and inequality while continuing to adopt the reinforced approach to sustainability risks and good governance practices.Learn More