Robeco has announced its interim targets and strategy to reach net zero emissions by 2050.
Robeco aims to decarbonize its investments 30% by 2025 and 50% by 2030. With its trajectory of approximately 7% decarbonization year on year, Robeco is likely to move faster than the global economy in the coming years. Living up to the same standards it sets for others, Robeco also applies the aim to reach net zero by 2050 to its own operations. It aims to reduce its operational emissions 35% by 2025 and 50% by 2030. This encompasses all emissions associated with business travel, electricity, heating and other business activities.
Robeco will accelerate the transition by investing in companies it believes will thrive in the transition and by engaging with those that do not move fast enough. This means Robeco will step up its active ownership activities through voting and engagement with the top 200 emitters in its investment universe and focus on engaging on climate change with 55 companies that are responsible for 20% of portfolio emissions. Additionally, Robeco will intensify its dialogues with sovereign bond issuers and together with other investors, call for climate action by countries as governments play a vital role in the transition towards net zero.
Furthermore, Robeco will promote climate-aligned investing by actively contributing to conducive market standards and policies. To accelerate net zero investing, Robeco has innovated and will continue to innovate its fund offering to provide low-carbon strategies that are expected to reach net zero by 2050 or earlier. This includes SDG, Green Bond and Paris-aligned fixed income and equity strategies.
Available is the company’s roadmap to net zero emissions by 2050, ‘Navigating the climate transition’ – a commitment and in-depth plan that will be updated at least every five years.
Victor Verberk, CIO Fixed Income and Sustainability at Robeco: “Our vision is that safeguarding economic, environmental and social assets is a prerequisite for a healthy economy and the generation of attractive returns in the future. Working in partnership with our clients, Robeco aspires to take a leading role in contributing to a net zero economy, create better and long-term risk-adjusted returns, and look after the world we live in. The low-carbon transition is not only a moral imperative, but also the prime investment opportunity of our generation.”
Lucian Peppelenbos, Climate Strategist at Robeco: “The biggest risk of climate change is inaction. However, we cannot solve an issue of this magnitude on our own. What we can do is set a clear example, work together and encourage others to follow suit. Our role as investors is to finance the transition and to use our leverage as shareholders and bondholders to accelerate it. A net zero economy can only be achieved if we all work together and everyone plays their part: investors, trade and industry, governments, and consumers. So let us take every opportunity to act now.”