Steve Waygood

Impact investment strategies will have an important role to play if the green credentials of the world’s stock of real estate is to be transformed, argue Gregor Bamert and Stanley Kwong.

While much of the world’s focus continues to be on tackling the COVID-19 pandemic, the climate crisis also requires urgent attention. The number of countries and companies supporting the move to a lower-carbon world is growing, but practical challenges remain. How can we build back better after COVID, and navigate to a cleaner, safer and sustainable world?

As part of our engagement efforts, every January we send a letter to the chairs of companies we invest in (and some we don’t, but still want to use our influence with) to set out our stewardship priorities for the year. Here, in full, is our 2021 letter.

The UK is the latest country to accelerate plans to develop hydrogen as part of its push to reach net zero. But it is not the first time hydrogen has attracted attention – it has been trumpeted by the scientific community as a possible wonder fuel for around a century. So, what’s changed now?

Jaime Ramos Martin, portfolio manager of Aviva Investors’ climate transition strategy, and Rick Stathers, Aviva Investors’ climate lead, look at three themes that will shape the outlook in 2021.

The US went backwards on tackling climate change under President Trump. His successor Joe Biden must act quickly to make up for lost time, says Steve Waygood.

We select some of our key pieces of content in a year of unending drama.

After decades of secrecy, light is increasingly being shone on the potentially hazardous compounds produced by chemical companies. In the latest instalment of our editorial series, Link, experts from Aviva Investors’ credit, equities and ESG teams discuss the prevalence of chemicals in modern life, and how to balance usefulness and safety.

Brunel Pension Partnership’s chief responsible investment officer discusses climate change, greenwashing and the urgent need to repair flaws in the financial system.

There is a large gulf between the concept of ‘net zero’ and the practical policies that will deliver it. Jill Rutter, senior fellow at the Institute for Government, takes a hard look at the UK’s progress towards the 2050 target.

Reducing the amount of carbon dioxide in the atmosphere is becoming an increasingly urgent priority in the fight against climate change. Both new and established pathways to remove the gas are under scrutiny, as decision makers around the globe grapple with how to take the most effective action.

ESG ratings are a helpful baseline to assess companies, but views on their ESG risks and opportunities can be honed – and sometimes corrected – through deeper research, trend analysis and meetings with company executives.

There is no lack of willingness among investors in real assets to play their part in helping countries reach net zero by 2050. But much needs to change – and quickly, as Laurence Monnier explains.

Equity markets are slow to price in the implications of change. This creates opportunities for dynamic, style-agnostic investors to take advantage, argue Caroline Galligan and David Cumming.

Recent events have highlighted the importance of the environmental, social and governance characteristics of real asset investments – not only as part of COVID-19 recovery programmes, but also as a way of futureproofing portfolios.

Once dismissed as a virtuous endeavour that compromised investment returns, the ability to gain a more holistic view of risk by considering environmental, social and governance factors is increasingly appreciated by investors. We assess the evolution of ESG across asset classes, as well as its role as a risk mitigator and opportunity spotter.