Amundi
Amundi is a subsidiary of the Crédit Agricole group. Amundi joined the Net Zero Asset Managers Initiative in July 2021 and made its Initial Target Disclosure in November 2022.
Percentage of assets covered by the Net Zero Asset Managers Commitment Statement
18% of total AUM (USD $347 billion)
Information on interim target(s) covering the proportion of assets to be managed in line with net zero
Baseline(s):
Engagement threshold baseline
Financed emissions net zero or aligned: With respect to corporate and sovereign issuers, the current addition of Amundi’s aligned assets across portfolios is 30%, and the projection in 2030 would be 70%, considering similar pace of issuers’ net-zero alignment commitment.
Amundi’s engagement, through direct and collaborative approach, covered 579 companies in 2021 on climate issues, among which 434 from High Impact Climate Sectors (HCIS), representing 71% of MSCI World carbon footprint stemming from HCIS (and 74% of the footprint of HCIS’ companies without SBTi engagement). As part of this engagement activity, 464 companies have been engaged directly by Amundi, amongst which 329 companies are belonging to HCIS sectors (representing 57% of carbon footprint and 60% of those without SBTi engagement).
Portfolio decarbonisation reference baseline
149.1 tCO2e/€M invested (for corporate) or 254.2 tCO2e/€M turnover
Target(s):
18% of total AUM will be net zero aligned by 2025. Amundi considers that Net-zero alignment commitment must be clear and binding for the investment strategies in-scope, consequently, the 18% will be only composed of funds and mandates with explicit net zero alignment objectives.
Only net zero investment frameworks compatible with this principle are validated and eligible, including:
‒ For PAII Net Zero Investment Framework, the following net zero baselines:
‒ -30% carbon intensity reduction target in 2025 vs. 2019, and -60% vs. 2030 (minimum targets that need to be exceeded) on scope 1, 2 and part of scope 3
‒ -16% absolute emission reduction target in 2025 vs. 2019, and -41% vs. 2030 on scope 1, 2 and part of scope 3.
‒ For NZAO investment mandates, targets in line with the v1 or v2 of the UN Asset Owner Alliance Target Setting Protocol (including < 5 year and 2030 targets)
‒ For real estate portfolio targets compatible with CREEM net zero trajectories set at asset levels.
Whilst Amundi has committed to engage its clients toward Net Zero transition, they are ultimately responsible for agreeing to invest into net zero transition products.
Additionally, stewardship is an integral part of Amundi’s climate strategy. Amundi has committed to expand its climate-focused stewardship activities to 1 000 additional companies on top of the 464 directly engaged
Portfolio decarbonisation reference target
-30% in carbon intensity (tCO2e/€M turnover) by 2025 and -60% by 2030 for committed portfolios under NZIF.
Engagement threshold target
Financed emissions under engagement: In 2021, Amundi engaged directly or through collaborative engagement 579 companies, amongst which 434 HCIS issuers, representing 71% of HCIS carbon footprint, and 74% of HCIS carbon footprint from issuers without SBTi engagement. As part of its Ambition 2025 Plan, Amundi will begin a significant cycle of engagement with 1,000 additional businesses by 2025. Through this dialogue, Amundi requests that businesses publish a detailed climate strategy based on specific indicators and objectives for each carbon emission scope, and on the corresponding capital expenditure (investment plan). In addition, Amundi will carry on engaging all investee companies exposed to thermal coal and that have not communicated a thermal coal exit in line with our policy.
GHG scopes included:
Scope 1, 2 and 3 upstream (tier 1).
Methodology:
Net Zero Asset Owner Alliance Target Setting Protocol
Net Zero Investment Framework
Scenario(s):
IEA Net Zero Emissions by 2050.
Additional information
Proportion of AUM committed:
Amundi offers a broad array of investment solutions covering different investment styles and asset classes. The majority of Amundi’s AUM consists of portfolios managed as segregated accounts, on behalf of third-party single clients. Increasing the proportion of aligned assets will require obtaining their agreement. Therefore, in order to increase the proportion of aligned assets over time, Amundi is committed to engage its clients across segments, through advocacy, advisory towards alignment and has also committed to develop commingled funds with net zero alignment. We have also excluded asset classes where credible methodologies and sufficient data coverage are lacking (Sovereign bonds in particular). Amundi plans to develop frameworks in the near future, as credible methodologies develop and reliable data become accessible. The proportion of aligned assets committed to be managed in line with net zero has been estimated using a reference scenario of stable financial markets from 2022 to 2025, pro-forma of potential non-organic growth stemming from external acquisition(s).
Policy on coal and other fossil fuel investments:
Amundi is committed to phase out thermal coal from its investments by 2030 in OECD and EU countries and in 2040 in the rest of the world. This policy applies to all group entities that apply Amundi Group Responsible Investment Policy, and does not apply to institutional clients mandates if and only they decide to opt out. Amundi has engaged in 2021 all investee companies exposed to thermal coal and that have not communicated a thermal coal exit in line with this policy. By the end of 2022, Amundi will also exclude companies with revenue exposed to exploration and production of unconventional oil & gas extraction (covering “shale oil and gas” and “oil sands”) by over 30%. See Responsible Investment Policy for more information.