South Pole Carbon’s climate impact analysis reviewed emissions of greenhouse gases from companies in the fund’s investment portfolios, both from the companies’ own operations and from purchased electricity.
“This is a confirmation that we are doing the right things”, says Anette Andersson, manager of SEB’s ethical funds in Sweden.
Companies in the Ethos fund’s portfolios generate about 27 per cent less greenhouse gas emissions compared to companies on the Stockholm Stock Exchange overall, Andersson says.
South Pole Carbon, in its review, used data from CDP, a not-for-profit organisation providing a global system for companies and cities to measure, disclose, manage and share vital environmental information. CDP, previously called Carbon Disclosure Project, has screened all the fund's holdings to find out how much greenhouse gas they jointly emit. CDP also compared this with emissions from benchmark funds.
Andersson says that as a major player in the Swedish market, SEB has the opportunity but also the responsibility to influence the companies' sustainability efforts.
“We are working very actively on this and sustainability is fully integrated into the investment process for the Ethos fund. We always talk sustainability when we meet CEO’s and CFO’s of the companies in our portfolios. In the dialogues we highlight risks, but also opportunities in terms of sustainability.”
According to Andersson, companies listed on the Stockholm Stock Exchange are relatively climate friendly compared with other countries because there are fewer oil and mining companies listed there.
The review by South Pole Carbon was ordered and paid for by the Church of Sweden.