Sage Advisory Identifies 1,500 Corporate Leaders, Laggards Addressing Climate Change

AUSTIN, Texas, Dec. 9, 2021 /PRNewswire/ -- In a first-of-its-kind Corporate Climate Report, Sage Advisory unveils its ranking of climate leaders, average performers, and climate laggards. The Report provides a resource for investors looking to reduce the climate change and carbon transition risks in their portfolios.

"Climate change will create a growing market for existing and new disruptive technologies," said Bob Smith, President & CIO of Sage Advisory. "The goal of our research was to identify companies that are set up to effectively manage climate change risk and successfully integrate sustainable climate initiatives to grow their enterprise value." 

If governments fail to pass legislation aimed at avoiding a rise in global average temperature, equity valuations could decline significantly and result in higher costs of capital, bond rating downgrades, and difficulties repaying or refinancing debt, Smith said.

Sage's report integrates quantitative and qualitative analysis of industry-specific climate risks, third-party data, and a company's individual climate-related performance.

"Our rigorous climate analysis allows us to put together a ranking of companies we believe are not only well equipped to manage climate change risk but are also in a position to harness the realities of climate change to create long-term value," Smith said. "We can apply this process to coincide with our overall ESG analysis or incorporate it as a screen in an integrated portfolio." 

Smith believes that intention matters when it comes to climate strategy, and with the recent uptick in net-zero commitments by corporations, Sage also evaluated long-term emissions pledge strategies and whether companies used science-based targets. 

Often, carbon-risk analysis in ESG strategies can target high-emissions industries, such as oil and gas, while rewarding low-emissions industries like technology. Sage's research process identified strengths and weaknesses within industries, regardless of their embedded emissions risk.

To read more about Sage's Corporate Climate Report, a potential direct indexing application, and for a ranking of the top 10 climate leaders from 10 different industries, please click here.

About Sage Advisory Services
Sage is an independent investment management firm headquartered in Austin, Texas, that serves the institutional and private client marketplace with traditional fixed income asset management, ESG-integrated portfolios, global tactical ETF strategies, and liability-driven investment solutions. As of November 2021, Sage manages and advises over $17 billion in client assets. For more information, visit sageadvisory.com.

Media Contacts
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Jessica McHugh
Sage Advisory
512-327-5530

SOURCE Sage Advisory Services