Industry Framework
ICSWG additional climate change metrics — assessed per the DWP TCFD statutory guidance (Oct 2022)
These four metrics follow the DWP's 2022 statutory guidance on TCFD reporting, interpreted via ICSWG consensus recommendations. Physical risk is assessed under a failed transition (≥3°C) scenario; transition risk under a disorderly transition (Paris-misaligned) scenario. Climate solutions = % of revenue aligned to EU taxonomy climate mitigation/adaptation categories. Green CapEx/OpEx = weighted average of EU taxonomy aligned capital and operational expenditure as a proportion of total expenditure.
Source: ICSWG Additional Climate Change Metrics framework (March 2025). High = upper quintile of risk vs investment universe; Medium = median–upper quintile; Low = below median.
Source: ICSWG Additional Climate Change Metrics framework (March 2025). High = upper quintile of risk vs investment universe; Medium = median–upper quintile; Low = below median.
Climate Opportunities & Carbon Metrics — by Manager
| Manager | Climate solutions % | Green CapEx/OpEx % | Climate VaR | Carbon intensity | YoY change | Net zero aligned | Paris aligned |
|---|---|---|---|---|---|---|---|
| BlackRock | 14%(84% cov.) | 18%(78% cov.) | 8.2% | 142 tCO₂e/£m | -12% | 68% | 42% |
| Legal & General (LGIM) | 18%(88% cov.) | 22%(82% cov.) | 6.8% | 118 tCO₂e/£m | -18% | 78% | 54% |
| State Street Global Advisors | 11%(78% cov.) | 13%(70% cov.) | 11.4% | 188 tCO₂e/£m | -4% | 52% | 28% |
| UBS Asset Management | 8%(66% cov.) | 10%(60% cov.) | 14.2% | 224 tCO₂e/£m | +6% | 44% | 22% |
| Amundi | 16%(82% cov.) | 19%(76% cov.) | 9.6% | 158 tCO₂e/£m | -9% | 62% | 38% |
| Schroders | 5%(58% cov.) | 6%(52% cov.) | 18.8% | 312 tCO₂e/£m | +14% | 28% | 12% |
Climate solutions and Green CapEx/OpEx based on EU taxonomy climate mitigation and adaptation categories per ICSWG recommendations. Carbon intensity = portfolio-weighted tCO₂e per £1m invested (Scope 1 + 2). Climate VaR = estimated % of portfolio value at risk under a 1.5°C disorderly transition scenario. Data coverage shown in brackets.
ICSWG Climate Investing Framework — Manager Journey Assessment
Gathering climate data, measuring physical & transition risk exposure, assessing carbon intensity
Engaging with companies on climate transition plans, stewardship for real-world impact, policy collaboration
Allocating to climate solutions, transition finance, considering additionality and primary vs. secondary market impact
| Manager | Monitoring maturity | Engagement maturity | Impact investing |
|---|---|---|---|
| BlackRock | Advanced | Developing | Emerging |
| Legal & General (LGIM) | Advanced | Advanced | Developing |
| State Street Global Advisors | Developing | Developing | Emerging |
| UBS Asset Management | Developing | Emerging | Emerging |
| Amundi | Advanced | Developing | Developing |
| Schroders | Emerging | Emerging | Early stage |