Fideuram Asset Management Ireland DAC
Fideuram Asset Management (Ireland) dac (FAMI) established in 2001, is a UCITS management company belonging to Fideuram Intesa Sanpaolo Private Banking, owned by Intesa Sanpaolo Group, the leading Italian financial group. FAMI joined the Net Zero Asset Managers Initiative in November 2021 and made their Initial Target Disclosure in November 2022.
29.79% of total AUM
initially committed to be managed in line with net zero
USD $14.45 billion
currently committed to be managed in line with net zero
Information on interim target(s) covering the proportion of assets to be managed in line with net zero
Portfolio coverage baseline
At baseline year 8.7% of AUM in material sectors is considered Achieving NZ, Aligned or Aligning. (0% NZ, 5.9% Aligned to NZ, 2.8% Aligning to NZ)
Portfolio decarbonisation reference baseline
At baseline year portfolio emissions expressed in intensity terms were 83.09 TCO2e/€ million invested (~73.08 TCO2e/$ million invested) in material sectors. The intensity value reported is calculated on the holdings with measurable financed emissions.
Engagement threshold baseline
2.37% of financed emissions in material sectors are aligned to Net Zero (0% Net Zero).
The company has not started any Net Zero engagement activity yet.
Allocation to climate solutions baseline
The company has identified the Green Bond allocation as instrument to promote Climate Solutions for the first phase. At 31 December 2021 the percentage of corporate Green Bond was 1.26% on the Total AUM of Funds under NZAMI. In the second phase FAMI will consider capex or revenues from AUM based on EU taxonomy mitigation criteria, when the data will be reported by the issuers.
Portfolio coverage target
48% of AUM in material sectors is expected to be net zero, aligned, or aligning by 2030; 100% of AUM in material sectors is expected to be net zero or aligned by 2040.
Portfolio decarbonisation reference target
The company has identified the reduction of -50% of emissions intensity in material sectors (on million dollars invested) as target by 31 December 2030, in line with the IPCC Guidelines (which corresponds to 36.54 TCO2e/$m invested). This value is consistent with the estimated decarbonization rate (-44.7%) derived from the application of the science-based pathways to the baseline portfolio and the intensification of stewardship and engagement activities and increase investments in climate solutions.
Engagement threshold target
The company estimates 3% of financed emissions in material sectors will be net zero or aligned by 2025; 10% by 2030.
The processes related to individual and collective engagement activities will be extended to cover at least 67% of financed emissions in material sectors by 2025 (80% by 2030), involving around 60 companies.
Allocation to climate solutions target
In the first phase the company will promote the increase of corporate Green Bond allocation into the financial products. The company aims to triple its investments in Green Bond by 2025.
GHG scopes included:
The coverage on data of EVIC, Scope 1 and Scope 2 emissions in material sectors is 93.71%. The Scope 3 emissions are excluded because of the current low robustness and consistency of the available data. The aim is to include Scope 3 emissions once data are sufficiently available and of an adequate quality.
Net Zero Investment Framework
The Net Zero pathways used are:
• Sectoral pathways of OECM (scope 1 and scope 2) for: Energy Industry, Coal, Power Utilities, Gas Utilities, Utilities, Water Utilities, Buildings, Aviation, Shipping, Transport, Road Transport, Chemical Industry, Aluminium Industry, Materials / Steel, Forestry, Wood Products, Textile & Leather, Agriculture, Food Processing & Tobacco.
• SBTI global pathway is used for all the sub-sector GICS not mapped with OECM curves.
Proportion of AUM committed:
In terms of eligible asset classes managed by the company, we take into consideration equity and corporate bonds.
Sovereign bonds will be included in the future when the methodology will be consolidated. We will actively engage with third parties’ fund managers on integrating Net Zero objectives in the investment policies of funds we invest in. We will also collaborate with delegated fund managers in order to integrate Net Zero objectives in the funds managed for us. In terms of product, Funds of Funds, Index Funds and Quantitative Funds are excluded from the scope.
Policy on coal and other fossil fuel investments:
As part of FAMI “Sustainable and Responsible Investment Policy”, FAMI has adopted exclusion criteria aimed at mitigating the risk associated with issuers operating in sectors considered “not socially responsible”. Among those sectors, policy excludes issuers with at least 25% of revenues from extractive activities and production of electricity connected with thermal coal, the energy source among fuels which represents at the global level the highest incidence for carbon dioxide emissions.
Lists of the issuers are identified on the basis of the evidence acquired by specialized info-providers. For products using a benchmark, the maximum permissible exposure is equal to the issuer’s weight on the benchmark. FAMI applies the policy to all products managed by the Company (not only on asset in scope) with the exception of those managed with the aim of passively replicating a benchmark and any product on which FAMI is unable to have visibility of underlying assets (funds-of-funds).