The UN-convened Net-Zero Asset Owner Alliance’s sixth annual Progress Report delivers concrete evidence that institutional climate commitments are translating into measurable portfolio outcomes.
The 2026 findings offer more than headline numbers — they provide a substantive benchmark for how leading asset owners are embedding climate risk management into long-term investment strategy, stewardship practice, and capital allocation decisions.
From decarbonisation metrics across listed asset classes to the rapid scaling of climate solutions investment, this report marks a pivotal moment in the mainstreaming of net-zero portfolio management at institutional scale.
Decarbonisation of listed asset classes
The report documents continued reduction in portfolio-weighted carbon intensity across core asset classes:
- Listed equities: Carbon intensity declined from 61 to 50 tCO₂e per $1 million invested — an 18% reduction.
- Corporate bonds: Carbon intensity fell from 73 to 50 tCO₂e per $1 million invested.
These figures reflect portfolio-level progress against absolute emissions intensity metrics, consistent with science-based decarbonisation trajectories.
Target achievement and coverage
In the first target-setting cycle (2020–2025), 88% of targets were fully achieved — a strong result that underscores the operational credibility of the NZAOA framework. More than 95% of signatories have set targets across at least three of the four core target categories, reflecting broad adoption of the Target-Setting Protocol across the membership.
Climate solutions investment (CSI)
CSI reached US$787 billion in 2025, up from $555 billion in 2023 — representing approximately 8% of total AUM. The CSI category spans clean energy, resilience and adaptation, nature-based solutions, carbon removal, and blended finance structures. Signatory participation has expanded substantially: from 17 members reporting CSI in 2020 to 82 in 2025, reflecting both growing commitment and improved measurement capability.