France’s SCOR joins UN-convened Net-Zero Asset Owner Alliance

27 May 2020

Net-Zero Asset Owner Alliance

Paris-based Tier 1 reinsurer SCOR announced today (27 May 2020) it had joined the UN-convened Net-Zero Asset Owner Alliance, bringing membership to 24 with combined assets under management (AUM) of over $4.6 trillion.

Launched in September 2019 during the UN Climate Action Summit, the Net-Zero Asset Owner Alliance (AOA) is an international initiative bringing together investors that are committed to transitioning their investment portfolios to carbon neutrality by 2050. The AOA’s action focuses on implementing the Paris Agreement, the main goal of which is to limit the rise in global average in temperature to 1.5°C.

SCOR, the fourth largest reinsurer in the world, said in a statement that it has entered a new phase in its implementation of climate and energy transition measures.

The group is accelerating its withdrawal from coal assets, by lowering the exclusion threshold for companies generating revenue from thermal coal. Having already disposed of securities from companies generating more than 30% of their revenue from coal, SCOR has now reduced this threshold to 10%.

SCOR is committed to divesting from companies generating more than 10% of their total revenue from thermal coal, and from utility companies for which coal represents more than 10% of their power production. This applies to all asset classes on SCOR’s investment portfolio. In the longer term, the SCOR aims to divest totally from companies generating part of their revenue from thermal coal, by 2030 in OECD and EU countries and by 2040 in the rest of the world. Moreover, SCOR undertakes not to invest in companies developing new coal-related projects (mines, plants, power stations or infrastructure).

Denis Kessler, Chairman & Chief Executive Officer of SCOR, said:

“SCOR is pleased to join the Alliance to promote the transition to a post-coal economy. As a Tier 1 global reinsurer, SCOR has a long-term commitment to the fight against climate change. Protecting people and property from disasters and encouraging sustainable development, particularly in a context of intensified climate risk and extreme events, are integral parts of the Group’s mission. By joining this initiative and implementing new measures to support the energy transition, SCOR is further strengthening its sustainable approach to investment, as set out in its ‘Quantum Leap’ strategic plan.”

The Alliance is actively encouraging other investors to join the commitment of achieving carbon neutrality by 2050 demonstrating united investor action to align portfolios with a 1.5°C scenario.

Read more about the Net-Zero Asset Owner Alliance.

About SCOR

SCOR, the world’s fourth largest reinsurer, offers its clients a diversified and innovative range of solutions and services to control and manage risk. Applying the “The Art & Science of Risk”, SCOR uses its industry-recognized expertise and cutting-edge financial solutions to serve its clients and contribute to the welfare and resilience of society. The group generated premiums of more than 16 billion euros in 2019, and serves clients in more than 160 countries from its 38 offices worldwide.

 

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