In this document, the Climate Bonds Initiative, in consultation with IIGCC, SMI and funded by Climate Arc, has mapped the degree of alignment of 13 corporate transition frameworks and highlighted areas where further work and alignment is needed.
Theinitiative is part of a broader effort to assist asset managers and asset owners in analysing their investment portfolios on the path to net zero emissions. The goal is to expedite the allocation of capital to corporations at various stages of transition and promote the gradual decarbonisation of high-emission assets, all while preventing greenwashing practices.
Additionally, it is sought to foster consensus among existing corporate transition frameworks, ensuring a cohesive approach to sustainable finance.
In the upcoming phase of work, a practical tool will be developed that will enable the allocation of corporations within investment portfolios to the appropriate transition categories, facilitating effective engagement strategies. The initial version of this tool is set to be shared in January 2024 for market testing. Subsequent refinements will be made based on lessons learned from this testing phase.
