NN Investment Partners (NN IP) is a member of the Net Zero Asset Managers Initiative (NZAM). As part of this commitment and ahead of the COP26, NN IP reports that 37% (EUR 110 billion) of its total assets will be managed in line with reaching net zero in 2050 or sooner, by the end of this year. The scope includes assets managed in equity, corporate fixed income and sovereign bond portfolios For the corporate investment portfolio, a 25% CO2 reduction reference target by 2025 and a 45% reduction target by 2030 has been set. In the near future NN IP aims to further increase this scope by developing new products that enable investors to invest in Paris Aligned products, and support clients with their climate ambitions.
Adrie Heinsbroek, Chief Sustainability Officer at NN IP:
“We believe we have a key role to play in financing the transition towards a net zero emissions economy, in which we strive to achieve impact and reduce emissions in the real world. There’s not one solution to contribute to achieving the goals set out by the Paris Agreement. We put capital to work to accelerate the transition to a low-carbon economy and engage with corporates and sovereign issuers on the importance of managing climate-related risks and taking action to transition to a low-carbon economy. This way, we can drive real change. Reporting on the assets we manage in line with net zero is only the first step. We are continuously working on how we can further strengthen our approach to climate and how we can integrate climate change risks and opportunities in our investment processes”
NN IP aims to reach these reference targets via a bottom-up corporate Paris alignment approach in which we focus on real world impact. The corporate portfolios in scope will be transitioned towards the global goal of net zero emissions by 2050 by decarbonizing portfolios and by increasing investment in climate solutions. Active ownership plays an integral role in this strategy. For sovereign portfolios, a strategy has been developed by following the approach as laid down in the IIGCC PAII Net Zero Investments Framework. In this strategy sovereign bonds are scored against a climate scoring methodology, which consists of a set of current and forward-looking climate related indicators. For new or re-investments, there is preference for allocation to issuers performing better on climate and/or eligible green bonds. NN IP will seek to further increase dialogue activities with sovereigns.
