SGAM MALAKOFF HUMANIS
Climate Impact & Sustainability Data (2022, 2023)
Reporting Period: 2022
Environmental Metrics
Total Carbon Emissions:3,472,000 tCO2e/year (Scope 1, 2, and 3 for listed assets)
Carbon Intensity:134 tCO2/M€ invested (2022)
ESG Focus Areas
- Climate change
- Biodiversity
- Gender equality
- Disability inclusion
Environmental Achievements
- Launched a decarbonization strategy aiming for a 50% reduction in greenhouse gas emissions from investments by 2030.
- Invested nearly €100 million in impact funds focused on environmental and social issues.
- Increased holdings of green bonds to €1.152 billion by the end of 2022.
Social Achievements
- Launched a social impact bond fund with Sienna Impact Managers (€70 million commitment) focusing on gender equality, disability inclusion, and senior employment.
- Achieved a gender equality index of 96/100.
- 8.9% of employees are in situations of disability.
Governance Achievements
- Implemented a robust ESG governance structure with oversight at the board and executive levels.
- Integrated RSE criteria into the calculation of employee bonuses (6%).
- Established a common voting policy applied by asset managers in 2023.
Climate Goals & Targets
Long-term Goals:
- Net-zero emissions by 2040.
Medium-term Goals:
- Reduce greenhouse gas emissions from investments by 50% by 2030.
- Complete exit from unconventional fossil fuel investments by 2030.
- Invest €1 billion in high-materiality investments by 2025.
Short-term Goals:
- Reduce greenhouse gas emissions from investments by 15-25% by 2025.
- Achieve 55% of assets labeled ISR by the end of 2023.
- Complete exit from coal investments by the end of 2024.
Environmental Challenges
- Data limitations and methodological changes affecting comparability of certain indicators between 2021 and 2022.
- Challenges in obtaining granular ESG data for non-listed assets.
- Addressing the risks associated with climate change and biodiversity loss.
Mitigation Strategies
- Developed partnerships with ESG rating agencies (MSCI, Carbon4 Finance, Sustainalytics) to improve data access and analysis.
- Implemented a phased approach to ESG integration across asset classes.
- Initiated a modeling exercise to project the climate trajectory of investments and define intermediate decarbonization targets.
Supply Chain Management
Climate-Related Risks & Opportunities
Physical Risks
- Extreme weather events, sea-level rise
Transition Risks
- Regulatory changes, market shifts, consumer preferences
Reporting Standards
Frameworks Used: SFDR
UN Sustainable Development Goals
- SDG 13 (Climate Action)
Investments in renewable energy, green bonds, and impact funds contribute to climate action.
Reporting Period: 2023
Environmental Metrics
Total Carbon Emissions:3,562,000 tCO2e (listed assets)
Carbon Intensity:124 tCO2e/M€ invested (listed assets)
ESG Focus Areas
- Climate Change
- Biodiversity
- Gender Equality
- Disability Inclusion
Environmental Achievements
- Reduced the carbon footprint of its investments by nearly 16% between 2019 and 2023.
- Achieved a 98.5% share of investments in listed funds classified as Article 8 or 9 under the SFDR.
- Reduced the fossil fuel share of its portfolio from 9% to 6.6% (restricted perimeter) and from 4% to 3.1% (total listed assets) between 2022 and 2023.
- Reduced the brown share of its portfolio by almost half between 2022 and 2023.
- Invested €492 million in green bonds in 2023.
Social Achievements
- Launched a social fund with Sienna.
- Invested €35 million in three impact funds focused on ecological themes.
- Over 86% of employees completed e-learning on disability.
- Incorporated ESG criteria into executive compensation.
Governance Achievements
- Strengthened ISR integration within the investment management by incorporating an ISR component into financial management committees and non-listed committees.
- Established a quarterly meeting of the ISR committee in 2023 to monitor the ISR roadmap and current issues.
Climate Goals & Targets
Long-term Goals:
- Reduce carbon footprint of investments by 50% by 2030 (compared to 2019).
Medium-term Goals:
- Reduce carbon footprint of investments by 25% between 2019 and 2026.
- Achieve 55% of labeled assets by the end of 2023.
- Complete exit from unconventional fossil fuels by 2030.
Short-term Goals:
- Reduce carbon footprint of investments by 5% in 2024.
- Complete exit from thermal coal by the end of 2024.
- Implement ESG criteria for non-listed infrastructure investments.
Environmental Challenges
- Data limitations for non-listed assets, particularly in calculating carbon emissions.
- Difficulty in assessing the impact of investments on biodiversity due to limited data from companies.
- Complexity in quantifying financial risks related to climate change.
Mitigation Strategies
- Engaged external experts for carbon footprint modeling and data collection.
- Developed a methodology for estimating carbon emissions of non-listed assets.
- Used MSCI and Carbon4 Finance data to assess climate-related risks.
- Initiated a biodiversity strategy with Carbone4 Conseil.
Supply Chain Management
Climate-Related Risks & Opportunities
Physical Risks
- Extreme weather events
- Sea level rise
- Heat waves
Transition Risks
- Regulatory changes
- Market shifts
- Technological advancements
Opportunities
- Investments in renewable energy
Reporting Standards
Frameworks Used: SFDR