The severity of the climate change predicted by science, if no action or insufficient action is taken, combined with the duty of all institutional investors to prevent the manifestation of the material risks that will affect their capacity to provide their beneficiaries with the long-term returns they need for a successful retirement, require institutional investors such as Bâtirente to notch up efforts to mitigate climate risk.
Up to date, over 120 investment institutions totaling assets under management worth over US$10 trillion have subscribed to the Montreal Carbon Pledge. The message also shows markets that institutional investors are taking a turn that will lead them to reassess the way in which they allocate their capital. Corporate actors must also consider the risk of seeing their financing sources progressively running dry if they do not deliver what is expected of them.
By measuring the carbon footprint of its portfolios with South Pole Group, Bâtirente is completing the first step in the process that will eventually allow it to manage its share of climate change factors. Furthermore, committing to the annual disclosure of the carbon footprint of its portfolios means that Bâtirente, like the many other signatories to the Pledge, is bound to explain how its footprint evolves in the future.