Nomura Signs the Investor Agenda for Addressing Climate Change
Tokyo, June 11, 2021-Nomura Asset Management Co., Ltd. (NAM), the core company within the Investment Management Division of Nomura Group, today announced that it has signed the Investor Agenda1, a joint statement by institutional investors to accelerate initiatives on climate change. NAM has been supporting the Investor Agenda since its inception in 2018.
NAM is committed to helping realize a sustainable and prosperous society through its asset management business. NAM sees climate change as one of the most important ESG issues and works to address it through its ongoing initiatives.
The joint statement, which comes ahead of the 26th UN Climate Change Conference of the Parties (COP26) scheduled for later this year, calls on all governments to strengthen their Nationally Determined Contributions (NDCs) for 2030 before COP26 to align with the Paris Agreement, strengthen their commitment to net-zero emissions by 2050, incentivize private investments in zero-emissions solutions, ensure their Covid-19 economic recovery plans support the transition to net zero emissions and commit to climate risk disclosure aligned with the Task Force on Climate- related Financial Disclosures (TCFD) recommendations.
In June 1990, NAM became the first company in the industry to establish ESG investment trusts2. Since then, NAM has actively invested in companies globally that contribute to environmental conservation and climate change mitigation.
In recent years, NAM has been promoting ESG integration, which integrates analysis and assessment of companies' climate-related risks and opportunities into the investment management process. In March 2019, NAM began monitoring the GHG emissions of investee companies. In 2021, it became the first company in the industry to introduce a financial impact analysis that utilizes carbon pricing3 rather than the volume of GHG emissions.
By adopting a more advanced approach to climate change, NAM aims to mitigate the negative effects of long-term investment and deliver consistent returns over the long term.
As a responsible institutional investor, NAM will continue to address ESG issues with the aim of becoming the management company of choice for clients around the world.
1 The Investor Agenda was established in 2018 by seven organizations working on climate change issues, and provides recommendations for institutional investors and governments to more actively tackle climate change issues. For more information on the investor Agenda, please visit. https://theinvestoragenda.org/about-the-agenda/
A system of pricing carbon, the main cause of climate change, and requiring companies that emit carbon to bear the financial burden of their emissions.