Scientific Beta

Financial Investigator: "The UN-convened Net-Zero Asset Owner Alliance (NZAOA) recently launched a call to action for asset owners and index providers for the development and uptake of Net-Zero-Aligned Benchmarks. (...) In recent research, we show how Scientific Beta’s Climate Impact Consistent (CIC) indices integrate these 10 principles."

Financial Investigator 11/04/2023

By Erik Christiansen, ESG Investment Specialist at Scientific Beta

"(...) The UN-convened Net-Zero Asset Owner Alliance (NZAOA) recently launched a call to action for asset owners and index providers for the development and uptake of Net-Zero-Aligned Benchmarks. NZAOA spells out 10 principles such indices should follow to underpin the alliance’s goal of transitioning investment portfolios to net-zero greenhouse gas (GHG) emissions by 2050, consistent with a maximum temperature rise of 1.5°C above pre-industrial levels (...) In recent research, we show how Scientific Beta’s Climate Impact Consistent (CIC) indices integrate these 10 principles. In effect, the CIC indices are designed to maximise the climate impact potential of an investment strategy and, in line with the commitment that NZAOA members make, they ‘emphasise GHG emissions reduction outcomes in the real economy’. (...)".