WTW calls for system-level change for transition to net zero economy

Re/insurance broker  Willis Towers Watson has said that it will work in partnership with its stakeholders to enable and support the system-level change required for the transition to a net zero economy.

The broker has joined the Net Zero Asset Managers initiative, in its capacity as an OCIO (outsourced chief investment officer) provider. The membership applies to $168 billion of assets under management across Willis Towers Watson’s discretionary asset management mandates.

The Net Zero Asset Managers initiative is a group of international asset managers committed to supporting the goal of net zero greenhouse gas emissions by 2050 or sooner, in line with global efforts to limit warming to 1.5 degree celsius; and to supporting investing aligned with net zero emissions.

The combined signatories of the group have pledged a collective $43 trillion in assets under management will be subject to a detailed set of commitments to achieve these aims.

Chris Ford, head of investments at Willis Towers Watson, said: “We believe that climate change will materially affect the global economy and capital markets. Integrating climate considerations in our decision making is a core part of how we act as responsible stewards of our clients’ assets, and we believe this will result in better risk-adjusted returns for our clients.

He added: “As investors, we also have an important role to play in shaping the system going forward – to steward a just transition to a low carbon economy. We recognise that collaboration will be essential for the investment industry to achieve clear and consistent real world outcomes for the benefit of its clients and so, as strong as our own Net Zero commitments already are, working with wider groups of investors is vital to achieving meaningful progress.”

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