Trajectory Monitoring in Portfolio Management and Issuer Intentionality Scoring

2°C alignment has become a major issue for climate-aware portfolio management. There are sophisticated initiatives aiming to predict corporate emission intensities from 2030 up to 2100. 

In this paper, we focus on the significance of the ‘current policy scenario’, where corporates would simply stay on their current trajectories for their emission intensities. The United Nations Environment Programme has illustrated how far the global current policy scenario is from a global 2°C scenario. We want to understand this ‘current policy scenario’, broken down asset-by-asset within the significant emission sectors and from a global index point of view.

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