Taking climate change into account and reducing the carbon footprint of investments are focal points of Mandatum’s investment operations, with the carbon footprint of investments being a key indicator of responsible investment.
As a member of the Portfolio Decarbonization Coalition (PDC) investor network, Mandatum’s objective is to minimise investments’ emissions in the long run by actively managing the climate risks of investment activities and offering opportunities to invest in companies with a smaller carbon footprint.
The average carbon intensity of Mandatum’s investments in 2021 was 202 tCO2e/MEUR. The result is significantly (-42%) below the average level in the markets. Equity investments were -35 per cent (126 tCO2e/MEUR) and fixed income investments -27 per cent (262 tCO2e/MEUR) in relation to the market indices. The comparable carbon intensity of Mandatum’s unit-linked insurance client assets has decreased by roughly 47 per cent since 2017.
Mandatum also strives to account for its investment operations’ climate impacts by phasing out coal and oil in its direct equity and fixed income investments. Mandatum’s goal is to phase out coal (i.e. companies that derive more than 5% of their revenue from coal) from direct investments by 2030 and oil (i.e. companies that derive more than 5% of their revenue from oil) by 2040.
In its management of direct real estate investments, MAM focuses on energy efficiency, climate change mitigation, water efficiency, recycling, reducing waste volumes and offering tenants sustainable, healthy and safe properties. MAM has also set responsibility goals for its real estate investments and regularly monitors their achievement.
|
Goal |
Comparison year |
Target year |
Situation 31 December 2022 |
|
Reduction of water consumption by 10 per cent |
2018 |
2022 |
Water consumption fell 25.4 (26.3) per cent compared to the comparison year. |
|
Carbon neutrality for properties’ own energy consumption (electricity and heating/cooling) |
2019 |
2025 |
Carbon footprint (Scope 1 and 2 emissions): 1,638.8 (2,599.2) tCO2e |
|
Achieving 55 per cent rate of recycling |
2020 |
2025 |
The recycling rate is 47 (49*) per cent and the data coverage is 100 (99) per cent. |
|
Reduction of energy consumption by 20 per cent (calculated energy efficiency) in accordance with the energy efficiency agreement** |
2015 |
2025 |
Energy consumption has fallen by 13 (19) per cent. Saka Hallikiinteistöt Ky was sold on 1 July 2022, which impacted the 2022 result. Due to the change, Mandatum set a new target in 2023, which is 15 per cent. |
|
Four stars in GREB reporting |
2020 |
2025 |
Four stars in 2022. |
* The figure for 2021 has been restated. Excluded from the calculation is an unheated leased property where the tenant has their own waste agreement which Mandatum cannot impact.
** The energy efficiency agreement and the related figures also included Mandatum Life Leasehold Sites I and the properties of Kaleva Mutual Insurance Company in 2022.
The carbon footprint of direct real estate investments is also measured annually. The energy saving measures of real estate investments have been successful and, for example, electricity consumption has fallen steadily. Using the remote monitoring of properties’ automation systems, it is possible to optimise properties’ indoor conditions and thus reduce energy consumption further. Using continuous energy management, it is also possible to identify energy saving potential, set energy efficiency targets and monitor real-time energy consumption.
|
Scope |
2022 |
2021 |
2020 |
|
Scope 1 – GHG emissions |
0.0 |
0.0 |
0.0 |
|
Scope 2 – GHG emissions |
1,638.8 |
2,599.2 |
3,105.6 |
|
Scope 3 – GHG emissions |
139.1 |
261.6 |
248.0 |
|
Scope 1–3 emissions, total |
1,777.9 |
2,860.8 |
3,353.5 |
With respect to Mandatum’s carbon footprint, the greatest impact comes through investments, but the company also strives to reduce the GHG emissions from its own operations and seeks more responsible ways of operating, for example through internal guidelines.
Mandatum has measured the GHG emissions from its own operations since 2019. The data collected on the emissions has been expanded each year to obtain an even more comprehensive picture.
Examples of the actions aimed at reducing the GHG emissions from Mandatum’s own operations are improving the energy efficiency of offices, use of spaces and recycling.
|
tCO 2e |
2023 |
2022 |
2021 |
Change 2023/2022, %* |
|
Scope 1: Direct greenhouse gas emission |
23.9 |
42.5 |
70.4 |
-43.7% |
|
Scope 2: Indirect greenhouse gas emissions |
121.2 |
109.8 |
124.8 |
10.3% |
|
Scope 3: Other indirect greenhouse gas emissions |
1,030.7 |
696.3 |
313.6 |
48.0% |
|
Scope 1–3 GHG emissions in total |
1 ,75.8 |
848.6 |
508.7 |
38.6% |
|
GHG emissions per employee |
1.78 |
1.35 |
0.99 |
31.8% |
* The figures for 2022 and 2023 are not comparable, as emissions in 2023 increased due to expanding the calculation to include all of Mandatum business locations. In addition, emissions caused by waste were included in the calculation.