Risk, Return and Responsibility

In this episode, we ask when will investors get the information they need to invest confidently in the net zero transition, following turmoil in Brussels and the banking sector; we also underline Sustainable Investor’s October focus on transition finance by exploring the status of corporate transition planning and the merits of making it mandatory. 

Co-hosts: Guy Opperman, the UK’s longest-serving Pensions Minister & Chair of Sustainable Investor's editorial board; and Richard Gardiner, Interim Head of EU Policy at environmental charity ShareAction. 

News Round-up: Following MEPs’ surprise rejection of a compromise deal on the European Commission’s Sustainability Omnibus, Richard outlines the uncertainties for corporates and knock-on delays facing asset owners and managers, including over the SFDR Review. Guy warns of trouble ahead for UK pensions reforms after minister Torsten Bell dismissed concerns over mandation at the Pensions UK annual conference. Both have global implications, as do the other key topics analysed: the demise of the Net Zero Banking Alliance, the withdrawal of US climate risk guidance for financial institutions, and failure to agree a deal on shipping emissions. 

The Three Rs Interview: David Russell, Chair of the Transition Pathway Initiative, discusses the current value to sustainable investors of corporate transition plans, the information they should include to be more decision-useful, and the role of asset managers in supporting investor scrutiny of firms’ decarbonisation strategies. 

Review / Preview: To wrap up this week’s discussion, Richard looks forward to COP30, expressing hope that governments will reveal climate plans that deliver for people and planet, following the call made by Allianz Board Member Günther Thallinger in his recent interview with Sustainable Investor that nationally determined contributions should serve as blueprints for economic competitiveness. And Guy comments on the UK’s net zero ambitions in light of the release of its ‘carbon budget delivery plan’ - as required by the High Court - and tensions over North Sea oil and gas revenues ahead of the Budget in late November. 

Thanks for joining us: If you like what you hear, you can also subscribe to Sustainable Investor, subscribe to this podcast and find further information in the show notes, where you can also find our contact details.  We'd love to hear your ideas as we plan future episodes. 

Links to news items discussed: 

EU Lawmakers Reject Deal to Simplify Sustainability Rules 

https://www.euractiv.com/news/eu-lawmakers-reject-deal-to-simplify-sustainability-rules-in-major-upset/

Omnibus Vote Throws SFDR Review into Doubt

https://sustainableinvestor.online/live/omnibus-vote-throws-sfdr-review-into-doubt/

Socialists Cave to Centre-right Demands to Slash EU Green Rules

https://www.politico.eu/article/socialists-liberals-epp-eu-green-rules/

UK Minister Brushes off Fiduciary Duty Concerns

https://sustainableinvestor.online/live/uk-minister-brushes-off-fiduciary-duty-concerns/

Britain’s Biggest Pension Funds Back Regional Growth Drive

https://www.gov.uk/government/news/britains-biggest-pension-funds-back-regional-growth-drive

Mp Tables ‘System-Level’ Investment Duty Amendment to Pensions Bill

https://www.ipe.com/news/mp-tables-system-level-investment-duty-amendment-to-pensions-bill/10133274.article

Climate Alliance NZBA Disbands as Banks Vote For Guidance-Only Role

https://www.thebanker.com/content/e2f79306-a596-4375-a33c-e1390cb64c17

GFANZ Transition Role in Question as NZBA Folds

https://sustainableinvestor.online/live/gfanz-transition-role-in-question-as-nzba-folds/

Global Banks Stall on Climate Action Despite Net Zero Promises, Report Finds

https://www.transitionpathwayinitiative.org/publications/141/show_news_article

US Federal Agencies Announce Withdrawal of Principles for Climate-Related Financial Risk Management

https://www.federalreserve.gov/newsevents/pressreleases/bcreg20251016a.htm

Landmark global shipping deal in tatters after US pressure

https://www.bbc.co.uk/news/articles/c3vnl0yxg53o

Investors Left in the Dark on Pace of Corporate Transition

https://sustainableinvestor.online/investors-left-in-the-dark-on-pace-of-corporate-transition/

Transition Planning Not “An End in Itself”

https://sustainableinvestor.online/transition-planning-not-an-end-in-itself/

Targets, Trade-offs and Transformation 

https://sustainableinvestor.online/targets-trade-offs-and-transformation/

World’s Climate Plans Fall Drastically Short of Action Needed, Analysis Shows

https://www.theguardian.com/environment/2025/oct/28/worlds-climate-plans-fall-drastically-short-of-action-needed-analysis-shows

Climate Plan Captures Clean Energy Benefits and Boosts Investment

https://www.gov.uk/government/news/climate-plan-captures-clean-energy-benefits-and-boosts-investment

UK Should Prepare for at Least 2C of Global Warming by 2050, Says CCC

https://www.edie.net/uk-should-prepare-for-at-least-2c-of-global-warming-by-2050-says-ccc/

Remove Windfall Taxes on North Sea Oil, Bosses Tell Rachel Reeves

https://www.cityam.com/remove-windfall-taxes-on-north-sea-oil-bosses-tell-rachel-reeves/

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In this episode, we examine the implications for asset owners of the heavy political weather for sustainable investment in New York and Washington, and look beyond to practical challenges - from Europe’s defence boom to delayed deforestation legislation to nature-related reporting.

Co-hosts: Guy Opperman, the UK’s longest-serving Pensions Minister & Chair of Sustainable Investor's editorial board; and Gemma James, Head of Biodiversity and Nature at specialist consultancy Chronos Sustainability. 

News Round-up: First on our agenda is the UN General Assembly, with Guy’s take on the difficulties posed by the Trump administration’s continued hostility to climate change and ESG, and Gemma’s expectations for the High Seas Treaty’s implications for investors. Chris reviews recent comments by SEC chief Paul Atkins, inviting Guy to comment on the uncertainty caused by the US Court of Appeal’s refusal to rule on the commission’s climate risk disclosure rule. Gemma explains why the Taskforce for Nature-related Disclosures has been a “game-changer” for corporates and investors, while Guy considers the risk-return conundrum posed by Europe’s upsurge in military spending. 

The Three Rs Interview: Caroline Escott, Head of Investor Stewardship and Co-head of Sustainable Ownership at Railpen, explains why UK pension funds are mobilising for the Governance for Growth Investor Campaign, predicting that asset owners will increasingly allocate to jurisdictions that offer corporate access and “meaningful stewardship”. 

Review / Preview: Chris, Guy and Gemma discuss the acute physical risks arising in portfolios from climate change in light of Sustainable Investor’s recent interview with Mirko Cardinale, Head of Investment Strategy at Universities Superannuation Scheme, as well as the challenges of enacting policy and regulatory change to drive the net zero transition, as outlined by Barbara Zvan, CEO of UPP Ontario. Guy explains why he’s looking forward to the Pensions UK conference in Manchester, while Gemma highlights the Global Investor Commission on Mining 2030’s forthcoming consultation on the future expectations of investors and others of the sector. 

Thanks for joining us: If you like what you hear, you can also subscribe to Sustainable Investor, subscribe to this podcast and find further information in the show notes, where you can also find our contact details.  We'd love to hear your ideas as we plan future episodes. 

Links to news items discussed: 

Trump calls climate change a con

https://www.reuters.com/sustainability/cop/trump-tells-un-that-climate-change-is-con-job-2025-09-23/

High Seas Treaty ratification

https://www.ft.com/content/b0248bcc-67ba-4c2e-86e0-8e14eeccf82e

Trump proposal to end quarterly reporting 

https://www.cnbc.com/2025/09/19/sec-to-propose-rule-change-on-trumps-call-to-end-quarterly-earnings-reporting-says-chair-atkins.html

Court of Appeal ruling on SEC Climate Disclosure Rule

Court Orders SEC to Either Defend, Change or Repeal Climate Reporting Rules - ESG Today

SEC chief attacks on IFRS, European sustainability reporting 

https://www.esgdive.com/news/sec-chair-atkins-targets-ifrs-priorities-concerns-eu-csrd-csddd-prescriptive-reporting/760026/

DOL official calls ESG Marxist at OECD

https://www.dol.gov/agencies/ebsa/laws-and-regulations/laws/erisa/ebsa-addresses-trump-administration-pension-investing-priorities-at-oecd-event

TPI Centre's State of Corporate Transition report

https://sustainableinvestor.online/investors-left-in-the-dark-on-pace-of-corporate-transition/

UK DESNZ consultation on transition plans / disclosure standards

https://uksif.org/uksif-response-desnz-transition-plan-requirements-consultation/

Taskforce on Nature-related Financial Disclosures 2025 status report

https://sustainableinvestor.online/reporting-is-raising-nature-risk-to-board-attention-nbim/

PwC’s Global Sustainability Reporting Survey 2025

https://www.pwc.com/gx/en/issues/esg/global-sustainability-reporting-survey.html

Nature's Price Tag: The economic cost of nature loss

https://www.ceres.org/resources/reports/natures-price-tag-the-economic-cost-of-nature-loss

Morningstar Voice of the Asset Owner report

https://sustainableinvestor.online/live/esg-factors-aligned-with-fiduciary-duty-say-asset-owners/

Commission loses face over EUDR IT mess-up

https://www.wwf.eu/?19285941/The-dog-ate-my-homework-Commission-loses-face-over-EUDR-IT-mess-up

Are ESG Standards the scapegoat for stalling defence growth? https://www.rusi.org/explore-our-research/publications/insights-papers/are-esg-standards-scapegoat-stalling-defence-growth

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