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The Paris alignment paradox: scoping out solutions – Storebrand Asset Management

Despite their laudable aims to avoid counterintuitive results prevent greenwashing and reallocate capital towards climate-friendly investments and the inclusion of Scope 3 data provides a sub-optimal indication of portfolio climate risk exposure and causes perverse allocation decisions by investors.

Posted on Aug 19, 2024

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... In this paper, Storebrand Asset Management delve deeper into the Scope 3 category and accounting framework, to illustrate why new regulatory requirements aimed at 'Paris alignment' are leading to perverse allocation consequences for investors. They offer a solution to this industry-wide problem which they believe better aligns investors with the transition to a low carbon economy.

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