More than 100 climate-themed funds listed on global exchanges have approximately the same level of thermal coal exposure as the World MSCI Index of large cap equities, according to research from InfluenceMap. The findings highlight the need for greater attention and supervision of climate-themed and broader environment, social and governance (ESG) investment in terms of advertising, marketing and portfolio construction.
Another study by the investor-backed Transition Pathway Initiative (TPI) has revealed that when it comes to energy companies, only 31 of the top 109 are aligned with the emission reduction pledges made by national governments in the Paris Agreement. According to the report these firms don’t have a policy commitment on climate action and, in some cases, they didn’t even recognise climate change as a relevant risk.
- The full articles are available on Funds Europe:
- ”Climate funds study shows need for greater ESG scrutiny”
- “Investors pile pressure on energy sector to meet climate targets”