Brunel Pension Partnership published an investor statement – supported by 50+ global asset owners representing over USD 3.7 trillion in assets – affirming strong asset owner backing for the Net Zero Asset Manager (NZAM) initiative. The statement was publicly endorsed by 20+ PAAO signatories.
The statement represents a clear message from the asset owner community: managing climate-related financial risks and opportunities is a fiduciary imperative, and NZAM provides a practical platform to help asset managers deliver on this responsibility.
An Asset Owner Call to Action
The signatories to the statement emphasise their concern about the escalating and systemic risks posed by climate change to the global economy, markets, and their portfolios. Consistent with their fiduciary obligations, they call on investment managers to ensure they are equipped for and committed to managing these risks responsibly and transparently.
The statement encourages NZAM’s existing signatories to maintain their participation and invites asset managers who have not yet joined to consider becoming signatories. The updated NZAM Commitment Statement presents an opportunity for asset managers to reaffirm their commitment to supporting investing aligned with the global goal of net zero emissions, sending an important public signal on how they are managing climate-related financial risks and opportunities on behalf of their clients.
“As asset owners, we expect our managers to integrate climate risk into investment processes in a way that reflects their fiduciary responsibility to manage long term financial risk. NZAM provides a credible, science informed structure that helps managers demonstrate this commitment. We strongly encourage managers to participate and to use NZAM as a platform for improving standards across the industry.” – Chris van der Merwe, Responsible Investment Manager, Brunel Pension Partnership
Asset Owner-Asset Manager Alignment
The statement underscores a fundamental truth: addressing climate-related financial risks and opportunities requires action throughout the investment chain.
Asset managers play an essential role supporting their clients, asset owners, to deliver on their climate commitments. And, academic evidence demonstrates that climate alliances, such as NZAM and PAAO, accelerate the diffusion of climate-aligned standards and practices across the finance sector.
The asset owner community will continue to engage with asset managers regarding their commitment to NZAM. PAAO stands ready to support continued collaboration between asset owners and managers as we work together to address the systemic risks posed by climate change and seize the opportunities presented by the transition to a net zero economy.
If your institution would like to sign onto Brunel Pension Partnership’s investor statement, you may do so by filling out this form.