Public policy provides the signals and incentives that direct the flow of capital across the global economy. Policymakers need to create policy frameworks that support investment in low-carbon assets, enable investment in adaptation measures, and enact a just transition for affected workers and communities. They also need to ensure that investors take full account of the risks and opportunities presented by climate change in their decision-making.
Investors are a key influence on policymakers and, therefore, policy engagement by long-term investors is a necessary extension of these investors’ responsibilities and fiduciary duties to their beneficiaries.
As world governments and key stakeholders from business, the finance sector, civil society and beyond met at COP25 in Madrid in December 2019, a record 631 investors managing over US $37 trillion signed the Global Investor Statement to Governments on Climate Change, which called on world governments to:
- Achieve the Paris Agreement’s goals
- Accelerate private sector investment into the net-zero transition
- Commit to improve climate-related financial reporting
The statement was initially launched in June 2018 ahead of the G7 Summit, and show-cased with updated lists of signatories at the Global Climate Action Summit in September 2018, at COP24 in Katowice in December 2018, G20 Summit in Osaka in June 2019 and at the UN Secretary-General’s Climate Action Summit in New York in September 2019. The statement closed for signatures on 29th November 2019.
Investors are strongly encouraged to use the statement, open letter and briefing paper in their engagements with national governments and the media which the Investor Agenda Founding Partners can help facilitate.
In May 2020, the CEOs of The Investor Agenda Founding Partners issued a special statement setting out key recommendations for world governments to deliver a sustainable recovery from the COVID-19 pandemic that supports net-zero emissions investment. Following on from this, an investor statement to EU leaders on sustainable recovery from the COVID-19 pandemic was issued in June 2020.
The CEOs of the Global Investor Coalition on Climate Change together with PRI and CDP also wrote to President Moon Jae-in of South Korea in May 2020, and Prime Minister Abe of Japan in February 2020 encouraging more ambitious Nationally Determined Contributions (NDC) under the Paris Agreement and to set clear pathways towards net-zero emissions.
Global Investor Coalition on Climate Change, PRI and CDP CEOs’ Letter to President Moon Jae-in of South Korea
Global Investor Coalition on Climate Change, PRI and CDP CEO’s Letter to Prime Minister Abe of Japan
Please contact Emelia Holdaway (email@example.com) if you wish to find out more about our policy work, how you as an investor can support it, and our plans for 2020 and beyond.