This week in ESG
As Earth Day highlights our overheating planet, climate goals face setbacks. But it’s not all bad news - the first ever sustainable stock exchange is approved, and green bonds are issued in China.
Key highlights
🔻 Net Zero Banking Alliance (NZBA) weakens 1.5°C climate target
- The NBZA has revised its climate goals, removing the requirement for member banks to align financing with the 1.5°C global warming limit. This retreat follows political pressure and a growing exodus of North American members.
✅ US approves first sustainability-focused stock exchange
- The Green Impact Exchange index has been approved to launch as the first national stock exchange in the US dedicated to sustainable investment. Trading will begin in 2026.
💰 China issues first sovereign green bond
- China has launched its first sovereign green bond, raising 6bn Yuan ($826m). These funds will be used to help support the countries ambitious green plans.
📄 UK launches consultation to strengthen carbon credit integrity
- The UK government has opened a new consultation into the forming of ‘carbon market integrity principles’, aimed at improving transparency and sustainability in the voluntary carbon credit market. Proposed measures include enhanced ESG reporting and climate disclosures.
📉 ESG shareholder proposals down 34% in the US
- A new report from Proxy Review reveals a 34% drop so far this year (compared to Q1 last year) in the number of pro-ESG related shareholder proposals ahead of company annual general meetings (AGMs). This signals a growing pushback against ESG in the US as sentiment continues to turn negative.
Chart spotlight - global temperatures keep rising
Source: Copernicus, April 2025
The data is clear: global air temperatures have been consistently rising since the pre-industrial period. Each line on the chart represents a different year since 1900.
Why this matters
Yesterday was Earth Day (22nd April) - a moment to acknowledge the importance of our planet and what it provides for us, while recognising the vital need to protect it. To help make this possible, the landmark Paris Agreement in 2015 was agreed by the international community to help keep global temperature rises below 2°C, while ideally limiting warming to 1.5°C.
Despite the momentous climate efforts to date, as the chart above shows, temperatures keep rising. The more ambitious Paris target of 1.5°C was exceeded throughout 2024 and it looks likely that 2025 will follow a similar course. Despite such a bleak reading, there’s still plenty we can do to limit this upward trajectory and regain positive momentum, both on a personal level and through our investment and stewardship efforts.
Earth Day 2025: Progress and purpose
The latest global data shows that while carbon emissions remain high, there are signs of hope. Renewables now account for over 30% of global electricity generation, and several key economies have started to see emissions plateau or decline. But the path to net zero remains steep, and urgent.
At Parmenion, we understand our role and responsibility in reducing emissions and operating sustainably. That’s why we’ve continued to evolve our Net Zero strategy and take action across the business. Over the past year, we've made meaningful progress, including:
- Mapping our full Scope 1, 2, and 3 emissions to better understand our impact
- Transitioning to 100% renewable energy-powered data facilities in Farnborough and Newport
- Adding carbon emissions data to our quarterly reports for our ethical and ESG solutions
- Monitoring and managing emissions from our employee’s travel
- Improving waste management: recyclable materials are separated and repurposed, with non-recyclables sent to energy recovery facilities
- Launching a 20% salary sacrifice scheme to support staff in purchasing new electric vehicles
Earth Day is a reminder of the power of collective action. Every choice matters and we remain committed to transparency, accountability, and continuous improvement.
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Parmenion accepts no duty of care or liability for loss arising from any person acting, or refraining from acting, as a result of any information contained within this article. All investment carries risk. The value of investments, and the income from them, can go down as well as up and investors may get back less than they put in. Past performance is not a reliable indicator of future returns.
