However, carbon markets are not immune to the risks associated with greenwashing, as they face significant challenges concerning their integrity and reliability. Numerous instances have been recorded of carbon credit projects exaggerating their emissions reduction accomplishments. This makes it challenging for investors to operate confidently within this space.

Consequently, the very concept of carbon offsetting is being called into question, as an increasing number of cases emerge where organizations seem to use it to defer meaningful climate action. As a result, investors who may have a genuine interest in using carbon credits as part of their climate action plans face substantial reputation risks.

• What opportunities are available for investors regarding carbon credits?

• Under what conditions can carbon credits genuinely contribute to net-zero strategies?

• How can investors effectively manage the associated risks?

Our new white paper, ‘Leveraging carbon markets for climate investing’, aims to address these critical questions. Climate specialist Lucian Peppelenbos explains how carbon markets are organized and how investors can navigate this landscape while effectively mitigating the risks. This aims to provide valuable insights on navigating the complexities of carbon credits while making a contribution to combatting climate change.