|Dear SRI reader,
An important initiative spearheaded by the Church of England’s National Investing Bodies, was launched this week, as thirteen leading international asset owners and five asset managers with over 2 trillion pounds, came together to launch the Transition Pathway Initiative (TPI) to ‘better understand how the transition to a low-carbon economy affects their investments". Designed to meet the requirements of the Task Force on Climate-Related Financial Disclosures (TCFD), this initiative will help identify companies that are aligned with the transition to the low-carbon economy and those most exposed to climate transition risk. This Initiative has been applauded by the Executive Secretary of the UNFCCC, Ms Espinosa and riding the wave of shedding light on corporate performance and stimulating further transparency, it has already made some interesting data available
Also in line with corporate reporting, the International Federation of Accountants (IFAC) this week came out in favour of Integrated Reporting, as it recognised it as an ‘umbrella report for an organisation’s broad suite of reports and communications, enabling greater interconnectedness between different reports’. The view has been supported by other organisations in the field, still amid a certain degree of uncertainty though as experts remain careful to designate one initiative over the others. There is still more to be done, as further due diligence on the legislative side will have to be carried out in order to explore a level playing field in the different jurisdictions.
The recommendations launched in the report of the TCFD represent another valuable step in the right direction as the organisation is now gauging further input to guide its taskforce. Enough to keep the SRI community on the edge of its seat, while waiting for the EU guidelines on Non-Financial reporting coming up later this year.
Stay tuned and happy reading!
- Eurosif's Executive Director