A Case For: Sustainable Climate Equity Funds

The Sustainable Climate Equity Funds aim to maintain portfolios’ risk and return characteristics while targeting Paris-aligned reductions in carbon emissions and reallocating capital towards companies benefiting from low-carbon technologies.

State Street Global Advisors has developed a range of state-of-the-art equity climate funds. Our climate-aware investment process enables investors to immediately improve their portfolio’s carbon profile and reduce climate risk, while maintaining target returns.

The Slow-Burning Crisis

The scientific evidence for man-made climate change is incontrovertible. The last seven years were the hottest on record.

Last year was marked by disaster caused by more frequent and extreme weather events brought about by climate change.

Warming has also led to unprecedented melting of ice and snow at the north and south poles. Sea level rise will mean coastal communities are much more exposed to flooding and extreme storms, leading many to migrate inland, putting pressure on infrastructure and resources. And with greater carbon dioxide in the oceans comes ocean acidification, degradation of marine ecosystems and reduction in marine biodiversity.

Research suggests that ‘tipping points’ such as the melting of huge ice sheets or the loss of the Amazon rainforest are much more likely to occur than previously thought.