Our research has found that a standard decarbonisation approach can unintentionally lead to reduced exposure to renewable energy and a reduction in the aggregate ESG profile of a portfolio.
Our objective is to help investors align portfolios with the transition to a low carbon economy without changing the return profile or introducing unintentional risks. Going beyond reduction of carbon footprint alone, the portfolio is designed to have both a higher aggregate ESG score as well as higher exposure to renewables relative to the benchmark.
The Russell Investments Portfolio Decarbonisation Strategy
CASE STUDY: Industry Super Fund seeks carbon reduction
European institutional investor seeks ESG portfolio