Lazard Asset Management
Lazard Asset Management is a financial advisory and asset management firm with offices in 24 cities globally across the United States, Europe, Asia, and the Middle East. It joined the Net Zero Asset Managers Initiative on 29 March 2021 and its initial target disclosure was published on 1 May 2022.
9% of total AUM
initially committed to be managed in line with net zero
USD $22 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 decarbonisation reference baseline
Year-end 2019 as default but with certain strategy-specific variation.
Portfolio decarbonisation reference target
For most portfolios, the target will be a fair share of 50% reduction in portfolio Weighted Average Carbon Intensity (WACI) over the target horizon. Certain strategies will also use alternative targets, such as SBTi penetration.
GHG scopes included:
Initial target setting will be made on a Scope 1 and 2 basis with Scope 3 run in tandem ahead of implementation deadlines, such as the NZIF guidance for inclusion from 2023.
Net Zero Investment Framework
Pathways derived from the IPCC’s Special Report on Global Warming of 1.5°C, as reflected in the original objectives of the Net Zero Asset Managers Initiative.
Proportion of AUM committed:
: Lazard Asset Management’s initial commitment comes from either underlying client commitments with a net zero commitment or strategies that are already compatible with being managed in a net zero fashion, while we expand the range of methodologies available across geographies and asset classes. Lazard Asset Management’s AUM commitment has been determined on a bottom-up basis, with either specific client mandates or product strategies being considered on a standalone basis.
The initial commitments covers 9% of total AUM. Each of them has been subject to a top-down forecast of portfolio emissions trajectory, and a bottom-up assessment of asset-level alignment, derived from the Net Zero Investment Framework. In total, 50% of Lazard Asset Management’s AUM has been assessed using this combination of top-down and bottom-up portfolio analysis. As additional clients and portfolio managers formally agree to manage these portfolios according to our net zero portfolio framework, Lazard Asset Management will add additional AUM from our pipeline to the formal proportion of AUM committed.