UBS SDIC Fund Management Co
UBS SDIC Fund Management Co., Ltd. (hereinafter referred to as “UBS SDIC”) was established on June 8, 2005 as joint venture fund company between SDIC Taikang Trust Co., Ltd. (a subsidiary of China Development and Investment Group Co., Ltd.) and UBS AG, holding. They joined the Net Zero Asset Managers Initiative in January 2023 and made their Initial Target Disclosure in May 2024.
Percentage of assets covered by the Net Zero Asset Managers Commitment Statement
20% of total AUM (USD $3.9 billion)
Information on interim target(s) covering the proportion of assets to be managed in line with net zero
Baseline(s):
Target(s):
The weighted average carbon intensity of the selected funds is targeted to be 50% of the respective 2019 benchmark.
Baseline year performance for the target metric(s):
Different strategies may have different baseline metric performance relative to their benchmark.
GHG scopes included:
Scope 1 and 2 are covered. We may also cover Upstream Scope 3 when data capacity is improved. Downstream Scope 3 is not in scope.
Methodology:
Own/other methodology
Scenario(s):
Our reference pathways will primarily be the Paris Agreement temperature goal.
Additional information
Proportion of AUM committed:
The rational of 20% is based on a bottom-up approach which primarily includes equity and mixed portfolios. We see some asset classes not applicable to Net Zero targets given current framework and data capacity. Although the preliminary target is below 100% it stands a major challenge for us to implement in portfolio construction and management.
Policy on coal and other fossil fuel investments:
We do not adopt exclusion policy on coal or other fossil fuel investment. Instead we engage with companies which are deemed to undergo energy transitions.
Further information:
http://www.ubssdic.com/upload/20231220/202312201703061314758.pdf