Private equity firms and other alternative managers handling unlisted assets have been warned by the Net-Zero Asset Owner Alliance, whose members represent more than $11 trillion in assets, not to fall behind the rest of the investment industry in reducing financed emissions, according to a report by Bloomberg.
The report cites a recent report published by the United Nations-convened alliance, whose list of members includes Aviva Plc, California Public Employees’ Retirement System and Swiss Re AG, as revealing that it is calling on private asset managers to “raise their level of climate ambition”.
The alliance has highlighted what it sees as a disconnect between public and private markets, with publicly traded companies subject to more scrutiny around their carbon emissions from investors and activists than private businesses. Public companies are also subject to tougher regulators targeting climate-related disclosures.
