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Societe Generale Private Wealth Management

Société Générale Private Wealth Management is part of Société Générale S.A., a French-based multinational financial services. They joined the Net Zero Asset Managers Initiative in June 2022 and made their Initial Target Disclosure in December 2023.

Initial Target Disclosure: December 2023

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

47% of total AUM (USD $3.4 billion)

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

Baseline(s):

2019

Portfolio decarbonisation reference baseline

185.26 t CO2e / $mm sales.

2019

Portfolio coverage baseline

Baseline performance of 2% of portfolio companies setting a Science Based Target.

Target(s):

2030

Portfolio decarbonisation reference target

SGPWM has committed to reduce its carbon intensity by 50% by 2030. This commitment covers Article 8 and 9 funds, internal funds as well as mandates invested in stocks and bonds.

2030

Portfolio coverage target

75% of portfolio companies setting a Science Based Target. The target is set on SBTi approved / validated companies.

GHG scopes included:

Only scope 1 and 2 are included in our portfolio carbon intensity metrics. The scope 3 emissions are covered for material sectors in our NZIF analysis grid, when considering the quality of the climate disclosure and the coverage of the corporate targets set up. We are currently working on the integration of Scope 3 emissions for portfolio carbon intensity metric.

Methodology:

Net Zero Investment Framework

Science Based Target initiative for Financial Institutions

Scenario(s):

Our targets are derived from the IPCC’s P2 scenario, which defines a decarbonisation trajectory aimed at limiting the rise in average temperature to 1.5°C by 2100. This scenario implies that net global GHG emissions peak between 2020 and at the latest before 2025, decrease by 45% by 2030 compared to 2019, and be equal to zero in 2050.

Additional information

Proportion of AUM committed:

The 47% of AUM to be managed in line with net zero represent our mandates managed in direct lines in equities / bonds (ex- Government bonds), plus our internal funds article 8 and 9, plus our mandates invested in our internal funds. Our total AUM includes external funds for which we do not have as of now details on Net Zero commitments, government bonds for which we have not developed as of now any ESG proprietary methodology, as well as some residual cash positions. We will implement actions to increase that proportion over time by working with our fund analysis teams to collect information on carbon neutral pledges by external fund managers.

Policy on coal and other fossil fuel investments:

The current policies are based on exclusion and we complete this approach by shareholder engagement. Through shareholder dialogue, we systematically question companies on the science-based methodology they adopt for their climate trajectory.

More information can be in our 2024 Sustainability Risk Policy.

Further information:

2024 Sustainability Risk policy