Transition risks and avoided emissions

YOUR NEEDS

  • You want to benchmark your portfolio with a 2°C compliant world.
  • You want to anticipate regulatory requirements to report on climate risk.
  • You need reliable and relevant climate data to integrate transition risks into investment or credit decision-making.

OUR SOLUTION

Carbon Impact Analytics (CIA) is a methodology for assessing the full climate impact of portfolios through bottom-up measurement of greenhouse gas (GHG) emissions directly and indirectly induced and saved.

The method also provides an assessment of the alignment of investor and lender portfolios with a climate-focused strategy.

Sample company analysis

ADVANTAGES OF OUR METHOD

Bottom-up analysis

Our methodology is based on an in-depth analysis of each portfolio constituent before aggregation at the portfolio level.

A sectorial approach with specific analysis for "high-stakes" sectors

We developed specific indicators and calculation modules for the sectors most critical to the low-carbon transition.

A comprehensive measure of a portfolio's carbon impact

Our tools calculate the total carbon footprint (scopes 1, 2 and 3) for high-stakes sectors.

Beyond carbon footprinting, a focus on avoided emissions

Our tools factor in contribution to the low-carbon transition through calculation of emissions savings.

In addition to current performance, a forward-looking analysis of the company's performance

We complement the quantitative analysis of current performance with a qualitative analysis of a company’s dynamics: will it improve in the coming years?

KEY DATA FIGURES

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process- and geo-specific emissions factors used in calculations

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Gigatonnes CO2 emissions savings calculated, equivalent to the emissions saved by 1,500,000 wind turbines over 1 year

A METHOD RECOGNIZED BY THE FINANCIAL SECTOR

Case studies

US asset manager
An extensive suite of bottom-up carbon performance indicators is used to enhance equity strategy and research.

Euronext
Carbon Impact Analytics (CIA) was selected as the most relevant framework on which to base the recast of the Low Carbon 100 Europe index. The use of CIA indicators results in a 50% reduction in GHG emissions and a doubling of emissions savings as compared to the benchmark index.

European ISR asset manager
Carbon Impact Analytics is used to measure the contribution of its stock, bond, and green bond portfolios to the low-carbon transition, to build low carbon ESG portfolios, and to report to its clients on the alignment of its portfolio with a 2°C-compatible world.

European asset owner
A European asset owner uses Carbon Impact Analytics to report the carbon impact of its assets and to base disinvestment decisions on comprehensive and reliable climate metrics.

 

We also have other offers : training, due diligence and real assets. Please contact us for more information.