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Report

SDG Engagement Equity, H1 2024 report

Enabling and empowering real change

Insight
18 September 2024 |
Impact
As responsible investors, it’s important that all the sustainability claims we make are credible and we focus on the issues that matter. The same should be expected of our investee companies. In this report we provide colour on the ongoing engagement dialogues we have been having with our holdings.
SDG Engagement Equity H1 2024 report

Fast reading

  • The scale of the challenge posed by climate change is well documented. We know that last year was by far the warmest on record and 2024 could be warmer still. Meeting the goals of the 2015 Paris Agreement requires a complete transformation of the economy. It is an enormous and expensive task, putting the climate at the forefront of economic models – and therefore, investment outcomes – in the decades ahead. These targets cannot be met unless investors play their part in enabling and incentivising change.
  • Reflecting on the need to focus investment stewardship towards those parts of the economy that have the greatest need to accelerate development of decarbonisation strategies, the SDG Engagement Equity Strategy has been structurally overweight energy intensive industries since inception. By selecting companies that are higher emitters today, but which can improve, we set out not only to drive emissions reductions in the Strategy over time, but also to create change in the real world.
  • The Covid-19 pandemic, the cost-of-living crisis, and an increase in economic uncertainty – coupled with limited mental health support – has led to a rise in mental health problems in many countries around the world. There is a compelling argument that company management should prioritise employee mental health on an economic basis – as well as a moral one. We have made a strong start to our engagement efforts on this issue but are aware we are at the beginning of a process.

For more information on SDG Engagement Equity, please click here

SDG Engagement Equity H1 2024 report

SDG Engagement Equity H1 2024 report

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