28 November, 2018

Carbon Footprint – Portfolio

The carbon footprint for AP6’s 2017 portfolio corresponds to approximately 35 percent of the carbon footprint from an equally large investment according to a global index for listed companies. This is in part explained by the low carbon intensity of the new measure, “Weighted Average Carbon Intensity”. The portfolio companies’ carbon intensity is quite simply relatively low, regardless of the size of the holding.
New for 2017 is that the share of reported carbon dioxide emissions has increased in relation to estimated emissions. One reason for the increase is that AP6 has obtained access to information on indirect holdings’ carbon dioxide emissions.
The private equity firms are imposing increasingly higher requirements on portfolio companies to measure and report carbon dioxide emissions. Several fund managers in AP6’s portfolio are now systematically collecting information on carbon dioxide emissions from their portfolio companies, which means they can also pass that information along to investors. 2017 was the fourth year that AP6 measured the carbon footprint for the unlisted portfolio.