Allspring defends exit from climate group

The global asset manager commented on its departure of the Climate Action 100+ (CA100+), stating it will not abandon climate goals.

Allspring said it exited CA100+ so it could take a more customised approach.

The Investor Group on Climate Change (IGCC), which runs CA100+ in Australia, said Allspring and AllianceBernstein's recent departures came amidst continuing politicisation of ESG.

However, investors that left CA100+ "have all stated that they remain committed to climate action," the IGCC spokesperson said.

Allspring has now confirmed it will stick to its sustainability strategy because it makes sense financially.

The firm "considers climate risks and other sustainability themes in our investment strategies and stewardship activities because we believe they contribute to our number one priority: generating positive investment outcomes for our clients," a spokesperson told FS Sustainability.

The asset manager joined CA100+ in 2019 "because we believed it was critical for investee companies in the highest-emitting industries to better understand and communicate their climate-related risks and, when relevant, evolve their business strategies accordingly. That remains true today.

"Since then, we have advanced our stewardship platform and resources that help protect client capital by improving investee disclosures and information flow that in turn informs and improves investment decision-making.

"Our direct engagements focus on constructively advancing the financial, operational, and sustainability performance of investee companies for years to come. We believe our clients' interests will continue to be well served by our internal customised approach.

"We are committed to seeking the best investment outcomes for our clients, consistent with their objectives and our fiduciary and regulatory obligations... we will continue to stand as committed partners with our clients in pursuit of their goals."

Allspring said it will continue to offer a series of climate transition investment strategies alongside a dedicated sustainable investing team.