43 asset managers representing $16trn in AUM have disclosed their initial targets for the proportion of assets managed in line with achieving net zero by 2050 or sooner, published as part of The Net Zero Asset Managers initiative (NZAM).
Asset managers who have set these targets include BlackRock (77% of total AUM initially committed to be managed in line with net zero), Danske Bank (68% of total AUM) and Vanguard (just 4% of total AUM).
NZAM is an international group of asset managers committed to supporting the goal of net zero greenhouse gas emissions by 2050 or sooner, in line with global efforts to limit warming to 1.5°C. The initiative now has 273 signatories who together have more than $61trn in assets under management (AUM).
New net zero finance alliance launches to achieve net zero
The latest targets mean that, collectively, approximately $16trn - out of a possible $42trn managed by the asset managers who have set targets to date - is now committed to be managed in line with achieving net zero by 2050 or sooner, and subject to targets consistent with a fair share of the 50% global emission reduction by 2030 identified as necessary in the IPCC special report on global warming of 1.5°C.
This sum represents approximately 39% of those managers' assets - up from 35% when the first set of targets were published at COP26. Both AXA and Wellington have also both increased their targets for the proportion of assets managed in line with achieving net zero by 2050 or sooner - from 15% to 65% and 10.6% to 32.4% respectively.
11 additional signatories have been able to commit 100% of their AUM to net zero, including Stafford Capital Partners and Ridgewood Infrastructure, bringing a total of 24 signatories with a combined AUM of over $530bn. NZAM has also seen 19 managers commit more than 75% of their assets and 30 exceed 50%.
