The Phenix Capital Group’s Impact Report of March 2023 disclosures top-down data on Net-Zero-aligned impact funds which specifically collect and report to investors on net-zero-aligned metrics, such as GHG emissions reductions.
This report comes as a great tool for institutional investors interested in doing their part in this urgent cause, which was highlighted in the media this week because of the latest report by the Intergovernmental Panel on Climate Change (IPCC).
The recent release of the IPCC made clear there is little chance of keeping the world from warming by 1.5°C or less by 2050, given it has already warmed by 1.1°C. Overshooting 1.5°C could happen during the 2030s, potentially triggering tipping points that cannot be uncrossed. The urgency of achieving net zero has never been greater.
So what can be done? Investments in clean energy, for example, must quadruple in the next 20 years. Around $3.5 trillion a year of capital investment will be needed on average between now and 2050 to build a net-zero global economy. This is up from $1 trillion per annum today, according to a new report from the Energy Transitions Commission.
Key Insights from Phenix Capital’s Impact Report:
- 729 Net-Zero-aligned funds, of which 58% are open to investment
- 31% of the funds tracked by Phenix Capital have a Net-Zero focus
- €289bn raised towards Net-Zero-aligned funds
- 273 Europe-focused funds raised €79bn
- €162bn raised by 228 global-focused funds
- SDG 7: Affordable & Clean Energy has attracted €146bn
- 73% of organisations have ‘open’ Net-Zero funds
- 270 real asset funds with €102bn in assets