The FT Wilshire US Large Cap Climate Change 1.5°C Target Index, Nikkei 225 Climate Change 1.5°C Target Index and Hang Seng Climate Change 1.5°C Target Index facilitate investment into companies that aim to meet the strict EU Paris Aligned Benchmark (PAB) requirements.
The index methodology is designed to meet the stringent EU Paris Aligned Benchmark(PAB) standards, delivering a fifty percent emission reduction relative to its underlying benchmark and an absolute year on year reduction of at least seven percent. PAB requirements aim to limit the rise in global temperature to no more than 1.5°C compared to pre-industrial levels.
PAB High Climate Impact Sectors
NACE definition of high climate impact sectors:
Agriculture, forestry and fishing
Mining and quarrying
Electricity, gas, steam and air conditioning supply
Water supply; sewerage, waste management and remediation activities
Wholesale and retail trade; repair of motor vehicles and motorcycles
Transportation and storage
Real estate activities
PAB Index Exclusions
Companies involved in the following activities are excluded from the PAB Indexes:
Cultivation and production of tobacco
UN Global Compact violations
OECD Guidelines for Multinational Enterprises violations
Exploration, extraction, distribution or refining of oil fuels (10% or more of revenues)
Exploration, extraction, manufacturing or distribution of gaseous fuels (50% or more of revenues)
Electricity generation with a GHG intensity of more than
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