Franco: TCW joins initiative to ‘deepen efforts to credibly integrate, analyze and report on ESG factors’

Energy
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TCW joins a global collaboration between financial institutions working to implement new strategies to improve financed emission reports. | Adobe Stock

TCW now forms part of the Partnership for Carbon Accounting Financials, a global collaboration between financial institutions working to implement new strategies to improve financed emission reports.

TCW has agreed to disclose financed emissions for selected portfolios within its investments for the next three years, according to a Nov. 21 Business Wire report. The conditions of the partnership will require TCW to contribute its market knowledge to develop a uniformed method of measuring the financial aspects of greenhouse gas emissions.

“As the interest in and importance of ESG investing continues to evolve, TCW has continued to deepen our efforts to credibly integrate, analyze and report on ESG factors in a manner that is consistent and appropriate with our diversified investment strategies,” TCW Head of Fixed Income ESG Jamie Franco said in the release. “Through this new partnership, we will continue to strengthen our global GHG accounting and reporting capacity.”

The company will also offer support to other environmental-related partnerships, such as the Task Force on Climate-related Financial Disclosures and the UN-Supported Principles on Responsible Investing, the release reported.

“We hope that by joining PCAF, we’re able to better measure our own carbon footprint while working with other asset managers to do the same, particularly for asset classes, such as securitized credit, not currently covered by the PCAF standard,” TCW Head of ESG Research Harun Dogo said in the release. “It’s important that we continue to work with our peers to develop explicit methodologies for measuring financed emissions.”

Initially established in Europe in 2015 and on a global scale in 2019, the collaboration now counts with the support of 300 financial institutions across five continents as it continues its quest to better assess greenhouse gas emissions financed by loans and investments, according to the release.