ESG Focus Areas
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ESG Focus Areas
Climate
As a leading asset management firm and UN PRI signatory since 2007, we have reinforced our commitment to climate change mitigation by setting comprehensive targets aligned with achieving net-zero emissions across all assets under management by 2050.
We have set a 2025 target to ensure that 80% of our top 200 largest carbon footprint contributors are on a Paris-aligned trajectory or otherwise subject to engagement. To assess the alignment profile of companies, NAM evaluates six current and forward-looking alignment criteria as defined by the PAII Net Zero Investment Framework. As of end 2024, 81% of top 200 companies were aligned or under active engagement to become aligned. This milestone was met through the following key actions: • Individual company dialogues were we stated and dis- cussed our expectations of Paris alignment • Engagements via collaborative initiatives (CA100+, IIGCC Net Zero Engagement Initiative, CDP non-disclosure campaign) • CEO letters outlining the six alignment criteria and our expectations
Our strategy combines short- and mid-term objectives, including reducing the weighted average carbon intensity (WACI) of investments and engaging companies to align with 1.5°C scenarios. In 2024, NAM strengthened its Responsible Investment Policy related to coal activities, including stronger investment restric- tions on coal mining, coal power expansion, and generation without phase-out commitments, considering both revenues and absolute involvement. Our Engagement Campaigns We actively participate in international investor initiatives and collaborative engagements focused on climate-related top- ics. Examples include Climate Action 100+ (CA100+), which engages with the most carbon-intensive public companies, and our Methane Engagement campaign in which we encourage our investee companies to adopt the Oil and Gas Methane Partnership (OGMP), a framework for methane measurement, reporting, and target setting.
Some of our Climate engagement initiatives
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