Advertisement

Climate-change: BlackRock votes against fewer directors as more companies adopt TCFD framework for risk disclosures, panel hears

  • Adoption of the rigorous TCFD disclosure framework is shooting up across Asia, a BlackRock executive said at SCMP’s Climate Change Hong Kong Summit
  • Use of the Task Force on Climate-related Financial Disclosures approach is welcome, but companies must move beyond mere compliance, panellists said

Reading Time:2 minutes
Why you can trust SCMP
Amar Gill, managing director and head of investment stewardship in Asia-Pacific at Blackrock, takes part in a panel discussion at SCMP’s Climate Change Hong Kong Summit 2022 at Island Shangri La on June 16, 2022. Photo: SCMP / Yik Yeung-man

More companies in Asia are adopting a rigorous international framework for disclosing climate risk, resulting in fewer companies seeing the world’s largest asset manager, BlackRock, vote against re-election of their directors, its regional head of investment stewardship said during a panel discussion.

Advertisement
The move towards the globally comparable TCFD (Task Force on Climate-related Financial Disclosures) framework is a welcome one, said Amar Gill, managing director and head of investment stewardship in Asia-Pacific for BlackRock, speaking in a panel discussion at the Post’s inaugural Climate Change Hong Kong Summit on Thursday.

“As an asset manager, we need a little bit more coherence in the ESG [environmental, social and governance] rankings,” he said.

Advertisement

BlackRock has been looking at whether companies are reporting according to the TCFD framework, released by the Basel-based Financial Stability Board in 2017, since last year. TCFD requires scenario planning for different levels of global warming, as well as the disclosure of both medium and long-term emissions targets.

Advertisement