Newton Investment Management
Newton Investment Management is an investment management firm headquartered in London with offices in New York, Boston, and San Francisco while serving clients globally. It joined the Net Zero Asset Managers Initiative on 29 March 2021 and its initial target disclosure was published on 9 November 2022.
Percentage of assets covered by the Net Zero Asset Managers Commitment Statement
67% of total AUM (USD $93 billion)
Information on interim target(s) covering the proportion of assets to be managed in line with net zero
Portfolio coverage baseline
27% of portfolio company financed emissions setting a science-based target
Portfolio coverage target
50% of portfolio company financed emissions setting a science-based target
GHG scopes included:
We note that under the SBTi methodology, Scope 3 emissions need to be taken into consideration when they represent more than 40% of the emissions value chain. For the meantime, only Scope 1 and 2 emissions will be included within the financed emissions calculations until we are comfortable with data accuracy and double-counting issues. Scope 3 emissions will be taken into account through the engagement process, alongside engaging on other companies’ Scope 1 and 2 emissions.
Science Based Target initiative for Financial Institutions
SBTi scenarios are drawn primarily from the Integrated Assessment Modelling Consortium (IAMC) and the International Energy Agency (IEA).
Proportion of AUM committed:
The in scope NZAM AUM is the active equity and corporate bonds. This means that cash, derivatives, multi-factor equity (quantitative), multi-asset solutions (quantitative), sovereign bonds and funds are excluded due to a lack of methodology to implement NZAM at the moment. We will work to understand the options available to implement NZAM within these strategies going forward.
Policy on coal and other fossil fuel investments:
We are still considering the best way to codify our NZAM commitment in relation to fossil fuel investments.