This Impact Area invests your money in companies impacting United Nations Global Goal 7, Affordable and Clean Energy, which aims to ensure access to affordable, reliable and sustainable energy for all, and Global Goal 13, Climate Action, which aims to take urgent action to combat climate change and its impacts.
Why is this important?
According to the Intergovernmental Panel on Climate Change:
- Global emissions of carbon dioxide have increased by almost 50% since 1990, and emissions grew more quickly between 2000 to 2010 than in each of the previous three decades. At this rate, the world’s oceans will warm and ice melt will continue, rising the sea level roughly 16-25 inches by 2100.
- From 1880 to 2012, average global temperature rose by 0.85 degrees Celsius. If left unchecked, the current global emissions of carbon dioxide will cause the global temperature to exceed 1.5 degrees. For each 1 degree of temperature increase, grain yields decrease by about 5%.
How do we choose companies in this Impact Area?
- We look at company reporting
- We partner with third-party rating firms
- We employ a proprietary scoring methodology
- We exclude companies with severe negative incidents or controversies
On what themes and metrics are companies evaluated?
- Strength of climate goals and commitment to renewable energy
- Reduction of greenhouse gases across all operations
- Percentage of revenue from clean and renewable energy products and services
Climate ActionSample Companies
- EQIX Equinix, Inc.
- NEE NextEra Energy, Inc.
- ADBE Adobe Inc.
- ES Eversource Energy
- AKAM Akamai Technologies, Inc.
The featured companies are examples of companies that may be included in the portfolio.