Environment and Sustainability

Our environment and its natural capital play a key role in the economy.

Our approach

The way we direct capital not only shapes the financial returns we may achieve, but also the type of impact we have on the world.

We face interlinked environmental crises, from climate breakdown, extreme weather, and species loss to water scarcity and unsustainable food production. We take action in our operations, but our greatest impact and influence is through how we invest. We place importance on understanding the environmental risks of our investments, as well as pursuing the opportunities we believe can benefit the environment while providing enhanced returns.

Environmental factors

Environmental factors represent a key theme aligned with our Sustainable investing process, along with: Social FactorsActive Ownership and Governance

The consideration of environmental risks and opportunities is an integral part of our investment process across all asset classes and sectors. A good understanding of environmental issues allows us to make better investment decisions for our clients. We encourage companies to tackle environmental issues, and we expect them to demonstrate their commitment to improve their environmental performance.

Our environmental focus

How Environmental factors impact our operations as a business as well as our investment decisions

Climate change is the defining issue of our time and we are at a pivotal moment. Without drastic action now, it will be difficult and costly to adapt. The adaptation to climate change impacts our products and investment decisions.

COP26 and beyond:

Ahead of and during COP26, we’re sharing more about the role we have in putting the planet on the path to net zero, and how we’re helping our clients to achieve their own climate objectives. Change starts now. Find out more about our approach and involvement with COP26

Carbon Net Zero:

We are proud to be a signatory of the Net Zero Asset Managers initiative, with a dedicated focus on financing the transition to a low-carbon economy. Read how we are investing for Net Zero

Climate Scenario Analysis:

abrdn has developed a bespoke approach to climate scenario analysis, that integrates the macro and micro drivers of climate impacts on asset prices within a probabilistic framework. Learn more about our Climate Scenario Analysis here

We face interlinked environmental crises, from climate breakdown, extreme weather, and species loss to water scarcity and unsustainable food production. Given our long-term focus, we are diligent in considering the environmental risks of our investments, as well as in pursuing opportunities that can generate a positive impact.

As well as our focus on Climate change we provide research and insight on a number of investment themes impacting the environment.

To see more about how we are upholding our commitments on these issues, please refer to our position statements below.

We are supportive of the Taskforce on Climate-related Financial Disclosures (TCFD) recommendations, encourage companies to report aligned to the guidance and published our own first report of our approach across our operations and investments.

Together we are tackling...

Climate Change

  • 98% of the electricity we procure directly is renewable.
  • We offset 110% of our operational carbon, including emissions from homeworking

Waste and Consumption

In our operations, we have targets for removing single-use plastics and being a zero-waste to landfill business, and are focused on minimising our use of non-renewable resources. In the UK our procured cut-sheet paper is 100% sustainably sourced and we are taking this approach globally.

Sustainable investing

Investing with purpose
Through our investments we aim to ensure that we are going beyond just minimising harm, by looking at benefits that will enhance the local environment and community – including enhancing biodiversity.

We offer sustainable investing solutions as well as integrating sustainable features across our range of products.