Carbon footprint

The carbon footprint is a calculation of the direct and indirect emissions (Scope 1, Scope 2) generated by a product, organization or individual. We use this rigorous assessment of sustainability to give an accurate measure of the environmental impact of Etica investments Funds. Results of the carbon footprint analysis are taken into account in the whole investment process: from the analysis of issuers and securities to dialogue with companies.

The environmental impact of our investments

Since 2015 Etica signed the Montréal Carbon Pledge ^[1] and made the public a commitment to measuring and reporting the emissions of its portfolio through a calculation of its carbon footprint, focusing attention on the environmental aspects of sustainable and responsible investments.

In 2020 Etica extended the boundaries of the carbon footprint analysis covering all funds of Sistema Etica and all asset classes. Beyond that, Etica follow metrics recommended by the Task Force on Climate-related Financial Disclosures (TCFD).

[1] The Montréal Carbon Pledge initiative in now closed (closed by the PRI in 2023)

Carbon Footprint 2025: Etica Fund’s Commitment to Reducing Fund Emissions

According to the latest Emissions Gap Report from the United Nations Environment Programme (UNEP), current global climate commitments are still insufficient to ensure a credible pathway to limiting global warming to 1.5°C. Achieving this target requires rapid and profound changes across all sectors of the economy.

Etica Funds continues to work in this direction by measuring and reducing the carbon footprint of its investments, with the goal of making a concrete contribution to the transition toward a low-carbon economy.

Cristina Colombo, Stewardship and Climate Specialist at Etica Funds, states:
“The TCFD report shows significant progress: for the Valori Responsabili line, we have achieved a 72% reduction in carbon intensity compared to 2019, and 85% of the production capacity of companies in the portfolio comes from renewable sources. The Etica Transizione Climatica fund also shows positive results, with a 33% reduction in carbon intensity and 90% of the portfolio linked to companies with international climate targets. Both funds are therefore aligned with a scenario limiting global temperature rise to within 1.5°C by 2050, in line with the Paris Agreement.”