Weekly Snippet December (12.12. – 18.12.)

Products and Service

Barclays increased its sustainable finance target for 2030

Barclays has already surpassed its 2018 target to deliver £150bn of social and environmental financing by 2025 and is well on track to meet the target to deliver £100bn of green finance well ahead of our 2030 target date. As a result, and after a strategic review of the bank’s capabilities, market demand and growth opportunities, Barclays has a new target to facilitate $1trn of Sustainable and Transition Financing between 2023 and the end of 2030. Read more here.

Climate Asset Management closes over $650 million for Natural Capital projects

Climate Asset Management has achieved commitments of more than USD $650 million across its two Natural Capital strategies. Commitments have been raised from a geographically diverse range of global financial institutions and corporations from Europe, the US, Asia-Pacific and the UK, with HSBC acting as anchor investor for both strategies. The Natural Capital Strategy (NCS) aims to deliver long-term financial returns alongside improved environmental outcomes from regenerative landscape management in agriculture, forestry and environmental assets.
Read more here.

M&G invests £200m into two impact funds

M&G has committed £200m to two new funds from Switzerland-based impact firm responsibility. The two funds aim to improve the production and availability of healthy food and will mainly invest in Asia and Latin America.
Read more here.

Regulations and Law

ISSB will consider nature-related standards and disclosures

As part of the work of the ISSB to develop the IFRS Sustainability Disclosure Standards (due to be published in 2023) it was decided in its session on 13 December 2022 in Montreal how to describe sustainability in a broader context. The work of the Taskforce for Nature-related Financial Disclosures (TNFD) and other nature-related standards will be considered by ISSB as it relates to “information needs of investors”, including TNFD’s recent work on climate and biodiversity disclosures.
Read more here.

The EBA publishes its roadmap on sustainable finance

The European Banking Authority (EBA) published this week its roadmap outlining the objectives and timeline for delivering mandates and tasks in the area of sustainable finance and environmental, social and governance (ESG) risks. The roadmap explains the EBA’s sequenced and comprehensive approach over the next three years to integrate ESG risks considerations in the banking framework and support the EU’s efforts to achieve the transition to a more sustainable economy.
Read more here.

FCA announced ESG Advisory Committee to its Board

Earlier this year the FCA Board agreed to establish a new ESG Advisory Committee to help execute its ESG-related responsibilities. This includes meeting the Government’s expectation that we ‘have regard’ to the UK’s commitment to achieving a net zero economy by 2050, when considering how to advance and achieve our objectives and functions. Additionally, the Committee will provide guidance to the Board on relevant emerging ESG topics or issues and views on how the FCA should develop its ESG strategy.
Read more here.

ESG Data and Analytics

MSCI launches new tool to assess biodiversity and deforestation risks in portfolios

The new metrics include the MSCI Biodiversity-Sensitive Areas Screening Metrics, which enable investors to identify companies that have physical assets located in areas of high biodiversity relevance, such as healthy forests, deforestation fronts, or species-rich areas as well as the MSCI Deforestation Screening Metrics, which indicate companies exposed to deforestation-related risks, including those that may directly or indirectly (via their supply chains) contribute to deforestation.
Read more here.

Net Zero

HSBC will end the financing of new oil and gas fields

HSBC announced this week that it will stop financing new oil and gas fields, as part of its efforts to drive down global greenhouse gas emissions. The statement was made within the updated version of HSBC´s Energy Policy.

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