Requirements under the FI Near-Term Framework

Criteria
1

Our asset classes under management span Listed Equities, Corporate Bonds, Sovereign Bonds, mortgage bonds, alternative investments (infrastructure, private equity, private credit, forestry) and real estate investments.
Under the current SBTi FI Near Term Framework (described in the Financial Sector Science-based Targets Guidance), it seems it would be OK to, e.g., submit a “Own operations” target, a Portfolio Coverage target for our Listed Equities and Corporate Bonds, and a Sectorial Decarbonisation Approach (SDA) target for our direct Real Estate investments for official validation by the SBTi. And then develop targets for other asset classes at later stages.

→ Is this a correct reading of the current requirements in the SBTi Near-Term Framework? If so, will this also be the case in the updated SBTi FI Near-Term Framework or will this framework change materially?

2

Table 5.2 of the Near-Term Financial Sector SBT Guidance, which provides minimum coverage requirements, has been updated in the draft Version 2 with more granular specifications for each asset class.

The proposed changes are up for public consultation so we welcome your feedback/questions on this document, and two other new documents, through the survey by Aug 14.