Vanguard CEO Tim Buckley defended the firm’s decision to pull out of the Net Zero Asset Managers (NZAM) initiative last year.
NZAM was founded in December 2020 and has over 300 members managing $66T in assets. The group is committed to reducing greenhouse gas emissions.
While discussing Vanguard’s decision to pull out of the alliance, Buckley said the firm’s voice was being drowned out.
- Buckley noted he does not believe Vanguard should dictate a company’s strategy around reducing their greenhouse emissions.
- Buckley added it would be hubris to presume that Vanguard knows the right strategy for the thousands of companies it invests in.
- Buckley said Vanguard’s approach to managing climate change risks by focusing on a company’s disclosure standard has not changed.
- Vanguard is the world’s second-largest asset manager with $7.2T AUM.
