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IBERCAJA AM

Ibercaja Banco one of the largest banking groups in Spain and Ibercaja AM joined the Net Zero Asset Managers Initiative in November 2021 and made its Initial Target Disclosure in November 2022.

Initial Target Disclosure: November 2022

Percentage of assets covered by the Net Zero Asset Managers Commitment Statement

25.25% of total AUM (USD $5.4 billion)

Information on interim target(s) covering the proportion of assets to be managed in line with net zero

Baseline(s):

2022

Portfolio coverage baseline

32,27% of committed AUM in material sectors is considered net zero, aligned, or aligning.

2019

Portfolio decarbonisation reference baseline

84,7 TCO2e/$Mn invested

2022

Engagement threshold baseline

7,21% financed emissions net zero or aligned.

Target(s):

2030

Portfolio coverage target

50% of committed AUM at least aligned by 2030.

2030

Portfolio decarbonisation reference target

-50% portfolio emissions in intensity terms

2030

Engagement threshold target

70% of the financed emissions in material sectors will be subject of stewardship actions in 2023. We have identified the issuers responsible for the biggest part of our scope 1 and 2 emissions and we will prioritize engagement processes and proxy voting practises depending on the asset class.

GHG scopes included:

Given the lack of standarised disclosures and estimate gaps among ESG data providers, we do not include scope 3 as of today. Notwithstanding, we measure and analyse scope 3 CO2(e) and they are included in the assessment of companies’ alingment to net zero.

Methodology:

Net Zero Investment Framework

Scenario(s):

IPCC scenarios that limit warming to 1.5C (>50%) with no or limited overshoot. 1.5C Category correspond to C1 scenarios in
the Climate Change 2022: Mitigation of Climate Change (ipcc.ch) report and comprises modelled scenarios that limit warming to 1.5C (>50%) with no or limited overshoot. Ibercaja AM has selected a global net zero pathway but aims to work also regional and sectoral net zero pathways, specially for those portfolios that invest in climate solutions.

Additional information

Proportion of AUM committed:

We have selected mutual funds and individual pension plans which promote environmental or social characteristics (clasified as art. 8 SFDR). Additionally, we have included the occupational pension plans under management mandate. We consider those portfolios are the ones with a higher focus on sustainability, therefore the ones to begin with in order to pursue our net zero target. This percentage will increase as more funds get reclassified to art. 8, new investment solutions are created and
environmental criteria is applied throughout the asset classes.

Policy on coal and other fossil fuel investments:

Ibercaja AM has an exclusion policy that prohibits investments in any companies with more than a 10% revenue threshold coming from thermal coal extraction. Art. 8 SFDR portfolios follow a harsher exclusion policy prohibiting investing in companies with any exposure to thermal coal extraction or more than 25% of the revenues coming from thermal coal electricity. Additionally, investing in oil companies that derive more than 5% of their revenues from unconventional  oil&gas (shale oil, shale gas, oil sands) or from arctic oil & gas is forbidden

Further information:

Info relating to this matter is about to be in public domain. Access to additional data regarding sustainable funds can be found here. And here.