If a company’s main function is providing car loans and personal loans, would they use the standard SBT guidance or the SBTi finance guidance?
Technically I believe they classify as a financial institution, but the methods are not yet available for these asset classes.
Thanks for posting! It depends on if the company has any other financial activities that are in scope, required or optional (e.g., equity or debt investments, residential mortgages) per Table 5.2 of the FI Guidance. If it has none, then they can use the SBTi Corporate Guidance until target-setting methods are available for any of the company’s financial activities.