London Daily

Focus on the big picture.
Saturday, Jul 12, 2025

Britain's largest fund manager expands Climate Impact Pledge to 1,000 companies and will sanction those that perform poorly

Britain's largest fund manager expands Climate Impact Pledge to 1,000 companies and will sanction those that perform poorly

Britain's largest asset manager Legal & General Investment Management, which oversees around $1.6 trillion in assets, is significantly increasing the number of companies it covers under its Climate Impact Pledge.
Not long after the introduction of the 2015 Paris Agreement on climate change, LGIM introduced the Climate Impact Pledge, which would assess and engage in the climate strategies of 80 of the world's largest companies across six sectors.

Now LGIM is expanding and updating the Climate Impact Pledge to oversee 1,000 companies and making the climate rankings for those companies publicly available, using a traffic light system.

The companies are selected from 15 climate-critical sectors and are responsible for 60% of all greenhouse gas emissions from listed companies, Meryam Omi, head of sustainability and responsible investment strategy for LGIM, said in a blog post.

"To help accelerate this momentum, LGIM is ramping up the ambition of its Climate Impact Pledge engagement programme," Omi said. "We are leveraging new data sets and analytics, vastly increasing the sectors and companies covered, in a concerted push to drive more transparency in the market and help companies build resilient strategies. And, in keeping with our belief in 'engagement with consequences', we will systematically hold companies accountable through voting and investment sanctions."

LGIM is seen to be a leader in sustainable investing, having recently been listed in the UN Principles for Responsible Investment 2020 leaders group, which contains PRI signatories that have demonstrated responsible investment excellence and have excelled in the theme of climate reporting.

Part of the Climate Pledge involves creating a sanction list for companies that continue to demonstrate poor performance and show limited improvement toward climate change initiatives.

In the October 2020 report, LGIM noted that 7 of the 10 largest improvements in scores since 2019 were made by companies on the sanction list. The company currently has 13 companies sanctioned, including ExxonMobil and China Construction Bank.

Now, around 500 of the companies with poor scores relative to their size will receive letters detailing LGIM's assessment of their approach to sustainability, Omi said. LGIM will continue to sanction companies that continue to fall short of the company's minimum standards.

Around 60 companies that are seen to be influential within their sector will be selected for in-depth engagement on why they can, and should, embrace the transition to net-zero carbon emissions over the next few years, LGIM said.
Newsletter

Related Articles

0:00
0:00
Close
Reparations argument crushed
Rainmaker CEO Says Cloud Seeding Paused Before Deadly Texas Floods
A 92-year-old woman, who felt she doesn't belong in a nursing home, escaped the death-camp by climbing a gate nearly 8 ft tall
French Journalist Acquitted in Controversial Case Involving Brigitte Macron
Elon Musk’s xAI Targets $200 Billion Valuation in New Fundraising Round
Kraft Heinz Considers Splitting Off Grocery Division Amid Strategic Review
Trump Proposes Supplying Arms to Ukraine Through NATO Allies
EU Proposes New Tax on Large Companies to Boost Budget
Trump Imposes 35% Tariffs on Canadian Imports Amid Trade Tensions
Junior Doctors in the UK Prepare for Five-Day Strike Over Pay Disputes
US Opens First Rare Earth Mine in Over 70 Years in Wyoming
Kurdistan Workers Party Takes Symbolic Step Towards Peace in Northern Iraq
Bitcoin Reaches New Milestone of $116,000
Biden’s Doctor Pleads the Fifth to Avoid Self-Incrimination on President’s Medical Fitness
Grok Chatbot Faces International Backlash for Antisemitic Content
Severe Heatwave Claims 2,300 Lives Across Europe
NVIDIA Achieves Historic Milestone as First Company Valued at $4 Trillion
Declining Beer Consumption Signals Cultural Shift in Germany
Linda Yaccarino Steps Down as CEO of X After Two Years
US Imposes New Tariffs on Brazilian Exports Amid Political Tensions
Azerbaijan and Armenia are on the brink of a historic peace deal.
Emails Leaked: How Passenger Luggage Became a Side Income for Airport Workers
Polish MEP: “Dear Leftists - China is laughing at you, Russia is laughing, India is laughing”
BRICS Expands Membership with Indonesia and Ten New Partner Countries
Weinstein Victim’s Lawyer Says MeToo Movement Still Strong
U.S. Enacts Sweeping Tax and Spending Legislation Amid Trade Policy Shifts
Football Mourns as Diogo Jota and Brother André Silva Laid to Rest in Portugal
Labour Expected to Withdraw Support for Special Needs Funding Model
Leaked Audio Reveals Tory Aide Defending DEI Record
Elon Musk Founds a Party Following a Poll on X: "You Wanted It – You Got It!"
London Stock Exchange Faces Historic Low in Initial Public Offerings
A new online platform has emerged in the United Kingdom, specifically targeting Muslim men seeking virgin brides
Trump Celebrates Independence Day with B-2 Flyover and Signs Controversial Legislation
Boris Johnson Urges Conservatives to Ignore Farage
SNP Ordered to Update Single-Sex Space Guidance Within Days
Starmer Set to Reject Calls for Wealth Taxes
Stolen Century-Old Rolls-Royce Recovered After Hotel Theft
Macron Presses Starmer to Recognise Palestinian State
Labour Delayed Palestine Action Ban Over Riot Concerns
Swinney’s Tax Comments ‘Offensive to Scots’, Say Tories
High Street Retailers to Enforce Bans on Serial Shoplifters
Music Banned by Henry VIII to Be Performed After 500 Years
Steve Coogan Says Working Class Is Being ‘Ethnically Cleansed’
Home Office Admits Uncertainty Over Visa Overstayer Numbers
JD Vance Questions Mandelson Over Reform Party’s Rising Popularity
Macron to Receive Windsor Carriage Ride in Royal Gesture
Labour Accused of ‘Hammering’ Scots During First Year in Power
BBC Head of Music Stood Down Amid Bob Vylan Controversy
Corbyn Eyes Hard-Left Challenge to Starmer’s Leadership
London Tube Trains Suspended After Major Fire Erupts Nearby
×