Phase out of Portfolio Coverage Approach?

Dear SBTi-Team

We recently had a meeting about SBTi targets with consultants and they did not recommend to us to set targets according to the the portfolio coverage approach due to a potential phase out from SBTi framework. Is this true that there are discussions or intentions to phase out this approach and if yes, by when?

Kind regards


hi - did you get an answer? this is relevant!

No, unfortunetly not yet. Have you heard similar rumours?

Apologies for missing this post as we are working on updating the FI Near-Term Criteria (which still includes the Portfolio Coverage method). I am not aware of any such discussions or intentions. Do you know where the consultants got this rumor from?

Dear Howard,

Please can you let me know if the “portfolio coverage method” on its own is sufficient for SBTi as a net zero target setting for an asset manager? I have seen targets such as “50% of portfolio company financed emissions setting a science-based target by 2030”. Would this be an acceptable target for net zero, without having a portfolio decarbonisation target? And if so, would it also be valid for the new FINZ Standard being developed? I am assuming it has not been released yet?

Many thanks for your guidance.


Hi Maryse, the FINZ Standard is still under development and will go through another round of public consultation as well as pilot testing this year so we welcome your participation.

Thank you very much Howard for letting me know, that is very helpful.

I wondered if you had an answer for my question on portfolio coverage? Thanks so much


Since the FINZ Standard is under development, that means there is no finalized document yet for me to base an answer on. If you’re asking about the Financial Institutions’ Near-Term Criteria Version 2.0, the Portfolio Coverage method is indeed one of the options available for certain asset classes.