This week Coutts announced its decision to join the Net Zero Asset Managers initiative, committing to achieving Net Zero across all our investments by 2050.

Find out why Coutts has committed to Net Zero investments

The global alliance brings together 87 asset managers worldwide representing $37tn (41% of the global total) who have committed to supporting the goal of net zero greenhouse gas emissions by 2050 or sooner, in line with the goals set out by the Paris Agreement to limit warming to 1.5°C. It also signals commitment to support partners in achieving the same goal.

Taking part in this initiative is our next step in demonstrating our commitment to tackle climate change. We have already taken action to bolster the resilience of our investments to climate-related risks. For example, our funds and discretionary portfolios saw their carbon footprint drop by a quarter on average in 2020, and we are not stopping there.

Peter Flavel, CEO of Coutts, commented: “Climate change is one of the biggest challenges we face and it represents a serious material risk for our clients, society and planet. We recognise the important role the asset management industry plays in addressing climate change and are proud to join the Net Zero Asset Managers initiative to accelerate industry action on climate. We have already incorporated climate into our Purpose, and are committed to further embed our Net Zero ambitions into our asset allocation decisions and stewardship activity.”

By joining the initiative, we have committed to:

• Achieving Net Zero emissions within all of our investment funds and portfolios by 2050, aligned with the Paris Agreement and with the goal of limiting global warming to well below 2 degrees Celsius;
• Collaborate with all our partners and fund managers on significantly reducing emissions by 2030 and reach Net Zero by 2050 or sooner;
• Set interim targets, such as our 50% carbon reduction by 2030, and review our targets at least every five years.

Mohammad Kamal Syed, Head of Asset Management, who has been steering Coutts’ responsible investing activity, commented: “As the first UK Private Bank to join the initiative we are leading the way on Net Zero investments. And the fact that we were able to reduce the carbon emissions in our investments by a quarter in 2020 shows that we are building an impressive track record on tackling climate change within our funds and portfolios.”  

Leslie Gent, Head of Responsible Investing, said “as principal partners of COP26 we have a duty to set far-reaching ambitions on climate change. Action taken today will have an overwhelmingly larger impact than action taken in ten year's time. The best time to tackle climate change is right now.”

Find out more about the initiative