EQT AB
EQT is a global investment organization based in Sweden. They joined the Net Zero Asset Managers Initiative in June 2022 and made their Initial Target Disclosure in December 2023.
Percentage of assets covered by the Net Zero Asset Managers Commitment Statement
96% of total AUM (USD $118 billion)
Information on interim target(s) covering the proportion of assets to be managed in line with net zero
Baseline(s):
Portfolio coverage baseline
0% of AUM in material sectors is considered net zero, aligned, or aligning.
Target(s):
Portfolio coverage target
40% of invested equity to have set their own SBTs (aligning) and 100% of real estate assets to have decarbonization plans in place.
Portfolio coverage target
100% of PCs owned for at least 24 months to have own SBTs validated (aligning) and 50% of PCs and real estate assets owned for at least 24 months on track with their decarbonization plan (aligned).
Portfolio coverage target
1) EQT funds’ portfolio companies (where the EQT fund owns at least 25% of fully diluted shares and excl. venture capital): 100% of PCs owned for at least 24 months to be on track to achieve their 1.5°C aligned decarbonization plans by 2040
2) EQT funds’ real estate assets: 100% of real estate assets owned for at least 24 months will be on track with their 1.5°C aligned decarbonization plans
GHG scopes included:
EQT’s scope 1 and 2 emissions includes 100% coverage across EQT (incl. recent M&A activity as per Dec 31 2022)
Scope 3 emissions includes business travel from all applicable parts of the firm and financed emissions (85% portfolio coverage)
Methodology:
Net Zero Investment Framework
Science Based Target initiative for Financial Institutions
Scenario(s):
Targets 1) and 2): SBTi’s 1.5 degree aligned pathway
Targets 3) and 4): Portfolio coverage target implies all investments need to set and deliver on their own 1.5 degree aligned pathways by 2040
Additional information
Proportion of AUM committed:
The remaining 4% relate to EQT’s venture capital funds under EQT Ventures and EQT Life Sciences.
EQT is looking to increase the share of AUM covered under it’s net zero ambition as standards for venture capital develop further.
Policy on coal and other fossil fuel investments:
Page 5 in EQT’s Net Zero Guidelines describes the firm’s approach to potential investments into fossil fuel companies and considerations to accelerate the energy transition.
The fossil fuel investment principles applies to 100% of EQT’s AUM.
Further information:
EQT’s Net Zero Guidelines can be found on the company website