United StatesImpax is a specialist investor in the transition to a more sustainable economy. We remain fully focused on our climate commitments, including our target with the Net Zero Asset Managers initiative (NZAM), at a time when other investors are diluting their own commitments in this area. Our approach to sustainability and climate-related issues is consistent with our fiduciary duty to clients to pursue attractive risk-adjusted long-term financial returns.
In this context, we have now published our second annual Climate Report. We have continued to evolve our reporting in line with the recommendations of both the TCFD and Transition Plan Taskforce (TPT) frameworks.
We embed climate change, alongside other material financial risks, into our investment approach.
Our assessment of transition and physical climate risks includes reviewing companies’ understanding of exposures and pricing of those risks through scenario analysis, climate risk management strategies, including capital investment plans and target setting, as well as performance relative to target-setting.
We engage with investee companies to ensure that, over time, they become more resilient to material climate-related risks by improving their assessment and management of those risks.
Click here to read more about our engagement and stewardship approach.
We seek investment opportunities in innovative solutions and technologies contributing to mitigating or responding to climate change and its effects, and see potential for superior risk-adjusted financial returns.
The transition to a more sustainable economy is inherently disruptive, leading to widespread mispricing of assets. Our investment process involves developing a detailed understanding of companies’ exposure to rapidly evolving risks and opportunities – including climate-related factors – to identify these mispriced assets.
We believe that the rapid proliferation of extreme weather events – and the urgent need to adapt and build resilience to them – is giving rise to multi-decade investment opportunities. These extend across multiple industries and span the global economy.
We partner with asset owners for investment management services linked to climate change and related topics.
Asset owners’ interest in the economic opportunities and risks arising from trends related to the transition to a more sustainable economy, including climate change, will continue to be a key driver of how capital is allocated. A large number of capital allocators are reflecting climate change and related topics in their investment management processes and/or their broader principles (such as their mission statements).
We contribute to efforts to reduce climate related risks and accelerate the development of related markets through stewardship and policy advocacy together with other market participants.
Due to the systemic nature of climate-related financial risks, we recognise that Impax’s actions alone will not significantly reduce the likelihood or severity of future climate change.
We believe participating in industry groups and partnering with asset owners who also recognise the materiality of climate-related risks and opportunities is an important way in which we can fulfil our fiduciary duties.
We engage with policymakers on the real economy policies needed to reduce global emissions of greenhouse gases and achieve their climate goals, informed by new research that we undertake on how to address emerging issues and challenges relating to climate.
The following entities within the Impax Group, as a result of being regulated by the UK Financial Conduct Authority (FCA), are required to publish their own separate TCFD entity-level reports pursuant to the ESG Sourcebook rules issued by the FCA. These entity-level reports, also for the 12-month Period ending 31 December 2024, should be read in conjunction with the Impax Climate Report 2025:
Impax Asset Management (AIFM) Limited TCFD Entity-level Disclosures
Impax Asset Management Limited TCFD Entity-level Disclosures
Additionally, we publish a separate TCFD report for Impax Environmental Markets plc, a UK-listed investment trust managed by Impax Asset Management.
Impax Environmental Markets plc TCFD Report