Three of the top asset managers in Europe were recently praised for their votes during the annual meetings of the five biggest fossil fuel companies.
The investors UBS, Allianz and Amundi took the opportunity to vote towards a resolution, which would request the board aligns with its 2030 target of reduction with the climate-focused Paris Agreement.
This would mean that fossil fuel company directors would be required to base plans for decarbonisation with the goal of reducing global warming down to 1.5 °C, in comparison with its pre-industrial levels.
Many investors in the UK and US mistakenly believe that they must select between either climate or profits, but environmentalists and experts in the finance sector state this is a false conundrum created by the world’s oil and gas sector.
According to climate change champion Mark Van Baal, founder of ‘Follow This’:
“US and UK investors apparently believe they must choose between profits and climate, but this is a false dilemma construed by the oil and gas industry.”
Due to an increased awareness of environmental issues, green assets are becoming a popular option, which has made ESG (environmental, social and governance) investing more profitable than ever before.
Analysts assessing data from the recent meeting commented that the present windfall profits from gas and oil should be employed to invest in brand-new sustainable business models, rather than further fossil fuels activities.
UK consumers looking for sustainable assets often consult specialists in portfolio management in Chester, Manchester and other major cities. Wealth managers can offer ethical investment advice and help investors build a portfolio that reflects their personal stance on issues like the climate crisis.