New climate risk report published

The fund is committed to addressing the issue of climate change and improving transparency in this area. To this end we are publishing our Climate Risk Report for November 2022 and will look to publish these reports annually moving forward.

The report shows the progress the fund has made to reduce the carbon intensity of its equity portfolio, looking at four areas of the fund’s approach to climate related risk in equity holdings, Governance, Strategy, Risk Management and Metrics and Targets.

The key indicators from the report are that through the positive actions of the fund in changing portfolios and investment managers the fund has reduced the carbon intensity of its portfolio by 46% since it was first measured in 2020 and reduced the financed emissions of the portfolio by nearly 43% over the same period.

The fund acknowledges that Environmental, Social and Governance issues and how they are addressed are crucial to the long-term investment returns of the fund and that this is an ongoing theme that will be kept under review as we move towards our target of being net zero by 2050 in line with the Paris accord.

We hope that you find the attached both interesting and informative.