Robeco, The Investments Engineers
Robeco logo

Disclaimer

Please read this important information before proceeding further. It contains legal and regulatory notices relevant to the information contained on this website.

The information contained in the Website is NOT FOR RETAIL CLIENTS – The information contained in the Website is solely intended for professional investors, defined as investors which (1) qualify as professional clients within the meaning of the Markets in Financial Instruments Directive (MiFID), (2) have requested to be treated as professional clients within the meaning of the MiFID or (3) are authorised to receive such information under any other applicable laws. The value of the investments may fluctuate. Past performance is no guarantee of future results. Investors may not get back the amount originally invested. Neither Robeco Institutional Asset Management B.V. nor any of its affiliates guarantees the performance or the future returns of any investments. If the currency in which the past performance is displayed differs from the currency of the country in which you reside, then you should be aware that due to exchange rate fluctuations the performance shown may increase or decrease if converted into your local currency.

Robeco Institutional Asset Management UK Limited (“RIAM UK”) markets the Funds of Robeco Institutional Asset Management B.V. (“ROBECO”) to institutional clients and professional investors only. Private investors seeking information about the Robeco Funds should consult with an Independent Financial Adviser. ROBECO will not be liable for any damages or losses suffered by private investors accessing the website.

RIAM UK is an authorised distributor for ROBECO Funds in the UK and has marketing approval for the funds listed on the website, all of which are UCITS Funds. ROBECO is authorised by the AFM and subject to limited regulation by the Financial Conduct Authority.

Many of the protections provided by the United Kingdom regulatory framework may not apply to investments in ROBECO Funds, including access to the Financial Services Compensation Scheme and the Financial Ombudsman Service. No representation, warranty or undertaking is given as to the accuracy or completeness of the information on this website.

If you are not an institutional client or professional investor, you should therefore not proceed. By proceeding, please note that we will be treating you as a professional client for regulatory purposes and you agree to be bound by our terms and conditions.

If you do not accept these terms and conditions, as well as the terms of use of the website, please do not continue to use or access any pages on this website.

Decline

Sustainable investing

Task Force on Climate-related Financial Disclosures (TCFD)

The Task Force on Climate-related Financial Disclosures (TCFD) was founded by the G20 Financial Stability Board in 2015 to provide information about how companies are mitigating their climate change risks. It is chaired by data terminal pioneer and former New York City Mayor Michael Bloomberg.


Its original aim was to assess the climate risks and opportunities facing companies and organizations, and how they impact business models and financial statements. The focus of its recommendations in 2017 aimed to enable markets to price in climate risk and thereby ensure efficient capital allocation.

In 2021, the TCFD updated guidance which embraced double materiality – the impact that a company has on the world, and the impact that the world has on a company. This version focuses not only on climate-related financial risks and opportunities, but also on the alignment of companies and investors with the Paris Agreement.

From voluntary to mandatory

Reporting to meet the disclosures was originally voluntary, but in 2021 the G7 recommended that it become mandatory for larger companies. In 2022, the UK became the first country to make disclosures compulsory for companies with more than 500 employees, and will expand it to the whole stock market by 2025.1

In the EU, the Sustainable Finance Disclosure Regulation (SFDR) requires companies to disclose their Principal Adverse Impact (PAI) indicators including emission statements from January 2023. While the TCFD is being dealt with on a national level, and is typically managed by a country’s financial market regulators, investors use the TCFD to meet the SFDR, while companies use it to meet the EU’s Corporate Sustainability reporting Directive (CSDR).

Both the SFDR and the TCFD now require investment managers to make climate-related disclosures at the entity level for the investee company. Robeco fully supports this kind of disclosure as part of a long commitment to sustainable investing and strategies and was an early backer of the TCFD.

glossary-task-force-on-climate-related-financial-disclosures-tcfd.jpg

Companies have increasingly embraced disclosure. Source: TCFD.

In the wake of Paris

The TCFD was set up shortly after the Paris Agreement was launched in 2015, partly in response to complaints that data about emissions was either completely lacking, or was unreliable and incomplete. The Task Force consists of 31 members from across the G20, representing both data providers – including some of the largest companies in the world – and the global investors who will use the information.2

In 2017, the TCFD released four climate-related financial disclosure recommendations designed to help companies provide better information that can be included in their mainstream filings. These cover a company’s governance, strategy, risk management, and climate metrics and targets:3

  • Governance: Disclose the organization’s governance around climate-related risks and opportunities

  • Strategy: Disclose the actual and potential impacts of climate-related risks and opportunities on the organization’s businesses, strategy, and financial planning where such information is material

  • Risk Management: Disclose how the organization identifies, assesses, and manages climate-related risks

  • Metrics and Targets: Disclose the metrics and targets used to assess and manage relevant climate-related risks and opportunities where such information is material.


The number of companies committing to the TCFD has risen exponentially from 513 with a combined market capitalization of USD 8 trillion in 2018 to 2,616 with a market cap of USD 25 trillion in 2021. The number of investors backing it has likewise risen to more than 1,000 representing USD 194 trillion in assets under management.4

See also

Task Force on Nature-related Financial Disclosures (TNFD)


Creating returns that benefit the world we live in

Sustainable investing

Let's keep the conversation going

Keep track of fast-moving events in sustainable and quantitative investing, trends and credits with our newsletters.

Don’t miss out
Robeco

Robeco aims to enable its clients to achieve their financial and sustainability goals by providing superior investment returns and solutions.

Important information This disclaimer applies to any documents and the verbal or written comments of any person in presentations or webinars on this website and taken together is referred to herein as the “Information”. The services to which the Information relate are NOT FOR RETAIL CLIENTS - The information contained in the Website is solely intended for professional investors, defined as investors which (1) qualify as professional clients within the meaning of the Markets in Financial Instruments Directive (MiFID), (2) have requested to be treated as professional clients within the meaning of the MiFID or (3) are authorized to receive such information under any other applicable laws and must not be relied or acted upon by any other persons. This Information does not constitute an offer to sell, or a solicitation of an offer to buy, any financial product, and may not be relied upon in connection with the purchase or sale of any financial product. You are cautioned against using this Information as the basis for making a decision to purchase any financial product. To the extent that you rely on the Information in connection with any investment decision, you do so at your own risk. The Information does not purport to be complete on any topic addressed. The Information may contain data or analysis prepared by third parties and no representation or warranty about the accuracy of such data or analysis is provided.
In all cases where historical performance is presented, please note that past performance is not a reliable indicator of future results and should not be relied upon as the basis for making an investment decision. Investors may not get back the amount originally invested. Neither Robeco Institutional Asset Management B.V. nor any of its affiliates guarantees the performance or the future returns of any investments. If the currency in which the past performance is displayed differs from the currency of the country in which you reside, then you should be aware that due to exchange rate fluctuations the performance shown may increase or decrease if converted into your local currency. Robeco Institutional Asset Management B.V. (“Robeco”) expressly prohibits any redistribution of the Information without the prior written consent of Robeco. The Information is not intended for distribution to, or use by, any person or entity in any jurisdiction or country where such distribution or use is contrary to law, rule or regulation. Certain information contained in the Information includes calculations or figures that have been prepared internally and have not been audited or verified by a third party. Use of different methods for preparing, calculating or presenting information may lead to different results. Robeco Institutional Asset Management UK Limited (“RIAM UK”) is authorised and regulated by the Financial Conduct Authority. RIAM UK, 30 Fenchurch Street, Part Level 8, London EC3M 3BD (FCA Reference No:1007814). The company is registered in England and Wales under Ref No. 15362605.

In all cases where historical performance is presented, please note that past performance is not a reliable indicator of future results and should not be relied upon as the basis for making an investment decision. Investors may not get back the amount originally invested. Neither Robeco Institutional Asset Management B.V. nor any of its affiliates guarantees the performance or the future returns of any investments. If the currency in which the past performance is displayed differs from the currency of the country in which you reside, then you should be aware that due to exchange rate fluctuations the performance shown may increase or decrease if converted into your local currency. Robeco Institutional Asset Management B.V. (“Robeco”) expressly prohibits any redistribution of the Information without the prior written consent of Robeco. The Information is not intended for distribution to, or use by, any person or entity in any jurisdiction or country where such distribution or use is contrary to law, rule or regulation. Certain information contained in the Information includes calculations or figures that have been prepared internally and have not been audited or verified by a third party. Use of different methods for preparing, calculating or presenting information may lead to different results. Robeco Institutional Asset Management B.V. is authorised as a manager of UCITS and AIFs by the Netherlands Authority for the Financial Markets and subject to limited regulation in the UK by the Financial Conduct Authority. Details about the extent of our regulation by the Financial Conduct Authority are available from us on request.