Five advice firms have participated in a new industry pilot as part of a net zero initiative.
Founding development partners Liontrust and Fintel worked with Net Zero Now to develop a sector-specific roadmap to net zero which included a tool to help the advice sector measure, report and reduce greenhouse gas emissions.
The pilot firms were Investing Ethically, James Brewster, The Path, Herbert Scott and Mosaac Ltd, who worked with Net Zero Now to undertake a full calculation of their greenhouse gas emissions.
Calculations showed an average of 35 tonnes of greenhouse gas emissions per firm.
Net Zero Now is working with each of the firms to build a tailored reduction plan and commit to specific targets.
Longer-term firms participating in the Net Zero Financial Advisers Initiative will be able to report on their emissions via the Net Zero Now platform and evidence their performance in reducing these emissions.
Neil Ross Russell, managing director of Net Zero Now, said: “By showing that they take the transition to a more planet-positive future seriously, these firms are leading the way for the entire sector, and our wider economy, to take action.
“Net Zero Now exists to fight the climate crisis and boost business success – our experience across multiple sectors shows the two go hand in hand. Financial advisers that join this important initiative can help attract and retain staff, reduce costs and meet the increasing demand from clients for firms aligned with their own climate commitments.”
Kate Kwiatkowska, head of ESG and corporate marketing at Fintel, said: “As the UK pivots towards net zero, financial advisers will be a driving force in ensuring client portfolios are invested in a way that matches the client’s ESG preferences.
“Aside from this crucial role, many advisory firms are looking to ensure their own operating models move towards net zero. We are delighted to have been able to use our deep understanding of the advice firms we serve to help design a practical framework for financial advice firms to follow and demonstrate their net zero credentials to clients.”
This article first appeared on ESG Clarity’s sister site UK Adviser