Swiss Bank Publishes Climate Action Plan for its Investment Areas

Credit Suisse has published a Climate Action Plan (CAP), outlining the ambition and approach of Credit Suisse Asset Management and Credit Suisse Wealth Management divisions in support of the transition to a net zero society.

The CAP describes how both divisions will seek to achieve net zero by 2050 across their investment portfolios, in support of the Zurich headquartered group’s ambition to reach net zero by 2050 across its financing activities, supply chain and operations.

In December 2020, the company announced its 2050 net-zero ambition, underpinned by interim science-based goals by 2030. These commitments were underscored by the group’s decision to join the Sustainable Markets Initiative and the Net Zero Banking Alliance in 2021.

The bank says the publication of its CAP adds to this, by inclusion of investment activities on behalf of clients within Credit Suisse Asset Management and Credit Suisse Wealth Management.

Jeroen Bos, Head Sustainable Investing, Asset Management commented: “We are committed to supporting the transition to a net zero society together with our clients, stakeholders, and investee companies. We trust that this plan will provide valuable insights into and transparency regarding our approach. Tackling climate change and accelerating the transition to net zero are vitally important for society, and we intend to do our part. The time to act is now.”

Social Programmes in Asia

The Swiss banking group aims to reduce its exposure to carbon-intensive sectors and companies unwilling to transition to net zero.

Since the divesting of assets does not immediately have an impact on the real economy, the bank’s first priority will be investing in solutions for the energy transition and engaging with its investee companies to help them set credible transition plans.

However, Credit Suisse said it will also pursue a strategy to reduce its exposure to companies that are unwilling to transition, that fail to respond to the bank’s engagement efforts, and that have substantial exposure to climate-sensitive activities. Both investment arms of the bank intend to reallocate the capital to lower-carbon assets or climate solutions.

To underscore Credit Suisse Group’s commitment to net zero by 2050, the Group has established a dedicated Net Zero Science-Based Targets (SBT) Program to provide oversight and strategic guidance for developing the net zero strategy. The Program is chaired by Credit Suisse Group’s Chief Sustainability Officer.

The group also intends to invest in decarbonization leaders or businesses around the world that provide solutions to facilitate and accelerate the transition to a net zero economy and society.

Such businesses can provide superior growth opportunities and more resilient business models and, as a result, can provide attractive financial returns, creating a favorable dynamic for both society and clients.

With a presence in most major Asian jurisdictions, the Swiss bank has over the years established a number of social programs in the Asia-Pacific with a strong focus on education, employability, entrepreneurship and financial inclusion for disadvantaged populations.

#NetZero #CreditSuisse #ClimateActionPlan