TORONTO, March 14, 2022 /CNW/ - RBC Global Asset Management ("RBC GAM"), the asset management division of the Royal Bank of Canada ("RBC"), is pleased to announce it has released its latest Task Force on Climate-related Financial Disclosures ("TCFD") report. This report covers calendar year 2021 and is RBC GAM's second disclosure aligned to the TCFD recommendations. The report discloses how climate change is addressed through governance, strategy, and risk management practices, and includes climate data and metrics for the portfolios managed by RBC GAM. This report demonstrates RBC GAM's commitment to providing clients with transparent and effective reporting on climate-related factors.
"As active managers, we integrate material environmental, social, and governance factors into the investment processes of all our global investment teams," said Melanie Adams, Vice-President and Head, Corporate Governance and Responsible Investment, RBC Global Asset Management. "Climate change is a systemic risk whose impact on the economy, markets, and society is complex and varied. RBC GAM is committed to continuous improvement, and throughout 2021 our investment teams made significant progress in expanding their analysis and integration of climate-related factors, and in providing ongoing transparency through regular disclosure to our investors."
Key highlights
In 2021, RBC GAM:
- Affirmed its Net-Zero Ambition on how it will support the global goal of achieving net-zero emissions by 2050 or sooner, and took steps to advance efforts to integrate climate change within its investment processes.
- Completed 1,650+ ESG-related engagements with issuers that focused on a range of ESG factors, including climate change.
- Conducted and disclosed carbon emissions analysis and net-zero alignment for 54% of RBC GAM's assets under management.
- Focused its climate scenario analysis on the transition scenarios recommended by the Network for Greening the Financial System (NGFS), including the Net Zero by 2050 scenario. This includes disclosure of the potential financial impact of climate change on assets under management under these scenarios.
- Continued to use active stewardship to advance its climate change commitments. RBC GAM believes active stewardship is one of the most effective ways for investors to drive real world, economy-wide emissions reductions, while also meeting its fiduciary duty to clients.
RBC GAM believes that collaboration across the investment community is essential to advancing efforts to address climate change and supporting a just and orderly transition to a net-zero economy. In 2021, RBC GAM became a founding signatory to the Canadian Investor Statement on Climate Change, along with 35 other Canadian institutional investors. This statement confirms RBC GAM's support for achieving the global goal of net-zero emissions by 2050 or sooner. RBC GAM also became a founding member of a new initiative called Climate Engagement Canada that brings together investors to engage collaboratively with Canadian companies that are significant emitters.
Looking ahead to 2022, RBC GAM will continue to deliver transparency on climate change impacts, integrate climate change in its investment approach, and employ active stewardship, including collaborating with investors, to advance the global goal of achieving net-zero emissions by 2050 or sooner. RBC GAM believes that this approach aligns with its fiduciary duty and will support its ability to deliver long-term investment performance to its clients.
Earlier this month, RBC also provided an update on its 2021 sustainability highlights by releasing its ESG Performance Report, TCFD Report and Diversity and Inclusion Report. To learn more about these reports, please visit here.
About RBC
Royal Bank of Canada is a global financial institution with a purpose-driven, principles-led approach to delivering leading performance. Our success comes from the 88,000+ employees who leverage their imaginations and insights to bring our vision, values and strategy to life so we can help our clients thrive and communities prosper. As Canada's biggest bank, and one of the largest in the world based on market capitalization, we have a diversified business model with a focus on innovation and providing exceptional experiences to our 17 million clients in Canada, the U.S. and 27 other countries. Learn more at rbc.com.
We are proud to support a broad range of community initiatives through donations, community investments and employee volunteer activities. See how at rbc.com/community-social-impact.
About RBC Global Asset Management
RBC Global Asset Management (RBC GAM) is the asset management division of Royal Bank of Canada (RBC) and includes money managers BlueBay Asset Management and Phillips, Hager & North Investment Management. RBC GAM is a provider of global investment management services and solutions to institutional, high-net-worth and individual investors through separate accounts, pooled funds, mutual funds, hedge funds, exchange-traded funds and specialty investment strategies. The RBC GAM group of companies manage approximately $580 billion in assets and have approximately 1,500 employees located across Canada, the United States, Europe and Asia.
SOURCE RBC Global Asset Management Inc.
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