Almost exactly two years after the revised CO2 Act was voted down in Switzerland, we have the chance to accept a new climate law paving the way for the achievement of the Swiss climate goals by 2050. While relying more on subsidies for climate-friendly technologies than bans of old technologies, the article 9 of the law specifically refers to the role of the financial industry. It requests that the Swiss financial center makes an effective contribution to a low-emission and resilient development. SSF supports the law and is convinced that the financial sector has a key role to play in encouraging all sectors to implement the transition to a net-zero economy. With our activities, we support our members and the whole financial centre in quickly moving on this path.

On a different level, discussions around the role of sustainable finance regulation continue. A recent report concluded that only a small minority of sustainable funds manages to comply with existing regulations in the EU, UK and US, due to their different objectives. While differing standards are an issue, we have the opportunity in Switzerland to define a principle-based framework that fosters transparency on the goals of different products and services and thereby strengthens trust amongst clients. This is the basis for the further growth of sustainable finance we need to see if we want to achieve our climate goals.

> Visit our website for more about these and other SSF activities

International News

• The SDG Progress report by the United Nations assesses the current state of progress towards the SDG goals at the half-way point of the 2030 Agenda for Sustainable Development. It finds that many of the SDGs are moderately to severely off track and puts forward five major recommendations to rescue the Sustainable Development Goals and accelerate implementation.
• A World Bank paper on physical risks for the banking sector in emerging markets determined that half of all credit portfolios in emerging markets are with companies whose businesses are highly or very highly dependent on one or more ecosystem services. Overall 21 ecosystem services with 86 dependent business processes are mentioned.
• The Climate Engagement Canada (CEC) published a Net Zero Benchmark to provide a common standard for investors to evaluate corporate issuer’s progress towards the Paris Agreement.
• Ecuador has completed the world’s largest debt for nature conversion with the help of the Inter-American Development Bank and the US Development Finance Corporation. The debt purchase aims to foster sustainable development and marine conservation in the Galàpagos islands.
• Four US States have published blacklists of financial institutions that are deemed to be boycotting fossil fuels or that forbid pension and investment funds and other state agencies from entering into contact with them.

Market News

• According to a white-paper by Clarity AI, only 4% of funds with sustainability terms in their names comply with sustainable finance regulation across EU, UK and US. This paper illustrates a lack of consensus across all these jurisdictions.

We are happy to welcome the following organisations as new SSF members:  

• Asymmetrica Investments AG (Asset Manager)
• Assetimmo lmmobilien-Anlagestiftung (Asset Owner)
• Degroof Petercam (Asset Manager)
• World YMCA (Network Partner)

The full list of our members and network partners, now standing at 239, can be found here.  

• 12 & 13 June 2023, Sustainable Finance Conference, DIGISUSTAIN, Frankfurt
• 22 June 2023, SSF Member’s Assembly and Annual Conference 2023, Bern, SSF

Further events are listed on the SSF website.

• 13 May 2023, Nachhaltig investieren und die Rüstungsindustrie, Finanz und Wirtschaft
• 13 May 2023, In der EU fehlt ein Label für nachhaltige Anlagen - die Branche improvisiert, Cash
• 9 May 2023, Schweizer Wirtschaft engagiert sich für liberales Klimagesetz, strom.ch
• 8 May 2023, L'économie suisse s'engage pour une loi climat libérale, Allnews
• 3 May 2023, Les enjeux de la finance durable discutés à Meyrin, Meyrin
• 2 May 2023, Bei den ESG-Anlagen sorgt die EU für Chaos bei der Frage, welcher Fonds als grün gelten darf, Handelszeitung

Visit our website for more articles.