PUBLICA moves forward with responsible investment

15 December 2021

The Swiss Federal Pension Fund PUBLICA attaches great importance to investing its members’ pension assets responsibly. It has now taken two key steps along that path: committing to net zero emissions, and excluding manufacturers of nuclear weapons from its investment portfolio.

PUBLICA invests the pension assets of its active members and pension recipients responsibly, and is constantly working to move forward in this area.

PUBLICA joins commitment to net zero emissions

PUBLICA has set a target of net zero emissions for its portfolio by 2050 at the latest. This undertaking is in line with the Paris Agreement, which has been ratified by Switzerland. It supports the measures already taken to manage the opportunities and risks associated with climate change, and also commits PUBLICA to address the climate issue on an ongoing basis.

PUBLICA has adopted the following measures to support its net zero target:

a climate-efficient equity index to systematically steer climate-related opportunities and risks

a reduction in the CO2 intensities of corporate bonds to reduce climate risks

a defined path to reduce the CO2 emissions of directly held real estate in Switzerland

engagement with CO2-intensive companies to help them move into more responsible areas of business

exclusion of coal-producing companies from its portfolio

investment in renewable energies such as wind farms and photovoltaic installations in the private markets category

The Paris Agreement aims to limit global warming to well below 2°C, and cutting emissions to net zero by 2050 is necessary in order to meet that target. Net zero means that no more greenhouse gas emissions may be released into the atmosphere than can be removed from it. Technology, along with changes to the conduct of companies and individuals, can substantially reduce emissions. Those that remain must then be compensated for by natural or artificial reduction measures.

Source: PUBLICA