While there are some who believe that divestment, particularly of fossil fuel companies, is the only answer to achieving Net Zero, we strongly believe that engagement is the most effective way of driving positive change. And there is an increasing body of academic research that supports this position. The critical thing is that we need the world to transition to a lower carbon future, rather than just divest our portfolio.
Our Net Zero ambition
We believe climate change presents a significant financial risk and that a low carbon world will likely be a more financially stable one. That’s why we’ve set an ambition for our investments to be Net Zero by 2050, if not before.
We have a legal duty is to make sure we can pay our members pensions when they’re due, and we’d also like to see a world worth retiring into. So, we’ll continue to make decisions that are in the best financial interest of our members.
But reaching Net Zero won’t be easy. In fact, it’ll be a huge challenge. It means changing the energy system that’s been powering the world for over 100 years. Investors, companies, policy makers and society will need to work together, globally, to achieve it.