Ethical Partners firmly believes that climate change represents one of the most serious challenges for the world today, in terms of economic, political and human impacts. Ethical Partners also clearly understands the significant impact of climate change on the operations of the majority of companies and sectors in our investable universe.
As prudent investors who aim to reduce risk and find opportunity in investment, we therefore strongly believe that understanding and mitigating climate risk within our investments is a crucial part of our investment analysis, valuation and portfolio construction, as well as our company engagements and wider advocacy activities.
Ethical Partners also believes that the transition to a low carbon world also provides many opportunities for companies that are leading in how they consider their sustainability pathways, and for astute investors looking to support those leaders and emerging climate change solutions.
These approaches are clearly detailed in our inaugural TCFD reporting, as follows.
Ethical Partners are pleased to see Australia take the next steps to implement mandatory climate reporting with the release of draft climate standards, which we provided feedback on.
Ethical Partners have continuously called for the provision of high quality, comparable data on company’s climate governance and carbon metrics, which we believe is imperative for investors to fulfil the potential of responsible investment.
Ethical Partners have been proud to have been active supporters of the TNFD Forum over the past few years, and to provide regular feedback on the development of the official TNFD recommendations, which were launched in December, as well as to be active members of the RIAA Natural Capital Working Group.