SEB is a signatory to the Montreal Carbon Pledge. As part of this commitment, we measure and report on our equities funds' carbon impacts on an annual basis. We cooperate with the external analysis company, ISS-Ethix Climate Solutions, whose data and analyses are the basis for assessment and calculation of our equities funds' carbon footprints. Their analyses are based on common industry guidelines drawn up by the Swedish Investment Fund Association. The analyses we receive as fund managers give us important feedback in our work to create sustainable funds.
We measure the carbon footprint when we have an adequate information basis, which applies to most of our equities funds. The criterion for calculating our funds' carbon footprint is that data showing their carbon dioxide emissions (or the equivalent) is available for at least 75 per cent of the fund's market value. For a number of companies and markets, there is currently insufficient information to measure their carbon footprint, but we are increasing the number of funds analysed, to make this information available. Two different reports are available for the measured funds: a summary report that can be found under the Swedish stock listing, which is also available in English, and an extended analysis report in English, also found at this site.
It should also be noted that the carbon footprint gives a historical snapshot of the emissions from companies in the fund's equity portfolio. The values will vary in step with changes in the companies' emissions, but also according to changes in the portfolio structure. Exchange rate movements will also affect the measurements to a lesser extent. It must be noted that the carbon footprint does not show the investments' total climate impact, for the following reasons:
- Only certain emissions are included. Indirect emissions from suppliers are not always included in the calculations. The same applies to the normal emissions as a consequence of using a company's products.
- The companies' emission data is not complete.
- Only certain asset classes are measured.
- Emission savings through products and services are not included.
- Information concerning fossil reserves is not included.
- The measurement does not indicate how well a portfolio is positioned towards, or its contribution to, the transformation to a low-carbon society.
The Swedish Investment Fund Association