Measuring the positive impact of our investments
SustainabilityArticleSeptember 29, 2020
Zurich has committed to investing USD 5 billion in impact investments. But how do we know if they are having a positive impact on the world?
In 2017, Zurich Insurance Company (Zurich) set two goals from its USD 5 billion in impact investments: avoid 5 million tons of CO2-equivalent emissions per year, and separately, make a positive contribution to the lives and livelihoods of 5 million people annually.
Our impact investment portfolio includes green bonds, social and sustainability bonds, private equity funds active in areas such as financial inclusion and clean technology, as well as private debt impact infrastructure investments for projects such as wind or solar farms.
But how do we know if our investments are really having a positive impact?
We developed an impact measurement framework that tracks what each of our investments achieve in terms of impact and its contribution toward our goals. Measurement helps us make better investments decisions and allows us to communicate our value to our shareholders.
Danielle Brassel, Responsible Investment Analyst at Zurich, explains in this video: