Acadian Asset Management
Acadian is a global investment manager that applies fundamental insights with a systematic lens to find attractive, unique investment opportunities across multi-asset class, ESG, alternative alpha, managed volatility, and long-only strategies. Acadian Joined the Net Zero Asset Mangers Initiative in November 2021 and made its Initial Target Disclosure in November 2022.
Percentage of assets covered by the Net Zero Asset Managers Commitment Statement
10.6% of total AUM (USD $9.4 billion)
Information on interim target(s) covering the proportion of assets to be managed in line with net zero
Baseline(s):
Portfolio decarbonisation reference baseline
151tCO2e/ $mn invested
Target(s):
Portfolio decarbonisation reference target
-50% for developed market portfolios and -38% for emerging market portfolios.
GHG scopes included:
Our target covers Scope 1 and 2 emissions with Scope 3 to be phased in as data quality and availability improves.
Methodology:
Net Zero Investment Framework
Scenario(s):
Acadian referenced the IPCC Special Report on global emissions pathway scenarios that limit global warming to 1.5°C by 2050. Our suite of climate analytics further evaluates company and portfolio alignments to each of the IPCC socioeconomic pathways, as well as sensitivity to the PRI’s Inevitable Policy response.
Additional information
Proportion of AUM committed:
Acadian’s initial commitment comes from either clients with a net zero commitment or strategies that are already managed with compatible carbon reductions. We believe this is a conservative approach to measuring our progress towards 2030 and 2050 decarbonization goals. Acadian continues educating and working with our clients on research and systematic carbon reduction solutions in order to meet our longer-term commitment. Alternatives strategies, including those using derivatives, are excluded from the commitment. Acadian will continue to evaluate future inclusion of these portfolios as methodologies become clearer within the industry.
Policy on coal and other fossil fuel investments:
No. Acadian’s initial sustainability framework, and subsequent basis for our policy, includes implementing a lower carbon portfolio, together with a carbon glidepath towards net zero. These features are combined with an exclusion list which includes reintroducing companies within the highest emitting sectors, who score highly on forward looking metrics related to supporting the transition to a lower carbon world. The final component is our active ownership and specifically engaging with companies primarily across specific themes aligned with our investment process.