A target for carbon-neutrality: Dr Quintin Rayer and Dr Pete Walton discuss the Net-Zero Carbon 10 target and the growing importance of investing in a low-carbon future

WHAT IS THE ISSUE?
Climate-related investment risks from global warming are increasingly being seen as part of trustees’ fiduciary responsibilities, particularly when managing long-term commitments.

WHAT DOES IT MEAN FOR ME?
Trustees need to be able to identify investments consistent with a low carbon or carbon-neutral future, both to support beneficiaries’ wishes and to avoid investment in assets carrying significant ‘climate risk’.

WHAT CAN I TAKE AWAY?
Targets identifying investments consistent with a low-carbon future can help practitioners support clients (including pensions and charities) with ethical or sustainable investment mandates and manage exposure to climate risk, thereby making an active contribution to fulfilling practitioners’ fiduciary duties.