FutureWise Pension Scheme Aims for Net Zero Emissions by 2050
FutureWise, Fidelity International's UK-based defined contribution workplace pension scheme, is taking significant steps towards combating climate change. It has committed to achieving net zero emissions by 2050 and halving its emissions by 2030. The pension fund is reducing its exposure to equities and implementing a carbon budget for each asset class to meet these ambitious targets.
FutureWise uses an ESG rating process to evaluate companies within its portfolios, ensuring sector distortion is prevented. The fund works closely with portfolio managers to set targets for a proportion of assets to be managed in line with net zero emissions by 2050 or earlier. Instead of carbon tilting or investing in climate solutions through private markets, FutureWise is implementing a carbon budget for each asset class.
The fund's carbon footprint has already shown remarkable progress. It fell from 99.8 CO2e t/£1m invested in 2020 to 38.5 CO2e t/£1m invested in 2022, representing a 61.4% reduction. This significant decrease is a testament to FutureWise's commitment to reducing its environmental impact. The carbon budget progressively reduces the emissions of each asset class in line with the Paris Climate Accord, without cutting exposure to specific sectors.
FutureWise's approach to achieving net zero emissions by 2050 and halving its emissions by 2030 is commendable. By reducing exposure to equities and implementing a carbon budget for each asset class, the fund is making a tangible difference in the fight against climate change. Its progress so far is a clear indication that its strategies are effective and on track to meet its ambitious goals.
Read also:
- Aiming to simplify the move towards cleaner automobiles, the newly established ministry plans to take direct action with Pannier-Runacher, Létard, and Vautrin at the helm.
- "The imperfect yet essential documentary, "Planet of the Humans," raises challenging and uncomfortable inquiries"
- Exciting Escapades of Tintin
- More than half of British homes adhere to insulation standards established during the 1970s.
