Nearly two years ago, the COP26 Asset Owner Climate Expectations were released. They set out clear minimum expectations for what the asset management industry must do to support efforts to limit global temperature rise to 1.5 degrees. Unfortunately, many of the world's largest global asset managers are still failing to meet these basic standards for environmental responsibility.
Meanwhile, the world's leading scientists and energy experts have identified new oil, coal and gas projects as an urgent threat to the 1.5 degree goal - as governments and businesses across the world continue to pour billions into major fossil fuel expansion projects.
That's why, today, institutions involved in the original declaration are announcing that they have escalated engagement with their asset managers. In the next phase of the COP Declaration project, a coalition of investors representing more than £4.5 billion are re-engaging with their asset managers with one simple message: stop supporting fossil fuel expansion.
In a new public letter, the investor coalition urges asset managers to heed the warnings of the world's scientists with 3 simple requests:
1) Halt new primary market investments linked to fossil fuel expansion.
2) Vote in favour of all pro-climate shareholder resolutions, particularly those which constrain companies' involvement in new fossil fuel projects.
3) Escalate engagement with companies pursuing or facilitating fossil fuel expansion by voting against their directors.
CLIMATE EXPECTATIONS: Phase 2
"High emitting governments and corporations are not just turning a blind eye. They are adding fuel to the flames. [...] Investing in new fossil fuel infrastructure is moral and economic madness" - UN Secretary General, Antonio Guterres, April 2022