Climate change is occurring at an alarming rate and has a far-reaching impact on human health, the economy and the stability of the natural environment. The 26th UN Climate Change conference, COP26, will take place in Glasgow, in November this year, and this represents a pivotal opportunity to galvanise efforts and evaluate progress towards the goal to limit global warming to 2° (and ideally 1.5°) above pre-industrial levels.
As a member of the financial services industry we are in a position of privilege and responsibility, and it is our duty as a company to ensure that our actions are geared towards a more sustainable future. We are aware that through the financial products we launch, the investment decisions we take, and how we engage with our portfolio companies and peers in our industry, measures designed to combat climate change gain traction and meaningful progress can be made.
It is vital that businesses like ICG, in a position of influence, keep finding ways to address climate change in order to work towards what the COP26 agenda describes as the ‘green transformation of the financial system’ and the ultimate achievement of a net zero economy.
This report, written by Managing Director and Responsible Investing Officer Eimear Palmer, examines how ICG can leverage its position within the financial services industry to help achieve these goals, and illustrates how a focus on understanding and assessing climate risk informs our investment decisions.
We have long been active on the environmental, social and governance (ESG) front, and this report describes how the urgency of the climate change issue has driven us to enhance our investment practice, as well as supporting and promoting change across the financial services sector.