JO Hambro Capital Management launches proprietary emissions forecasting tool to support its active managers in assessing low-carbon carbon commitments of listed companies
J O Hambro Capital Management Limited (“JOHCML”), and its sustainable systems investing boutique, Regnan, have today announced the launch of Horizon, a proprietary greenhouse gas (GHG) emissions forecasting tool. Horizon will support our investment teams in creating a leading edge in understanding the alignment of corporate emissions to a low-carbon future. Horizon has been developed through our strategic partnership with the University of Exeter’s Global Systems Institute (GSI). The tool provides probabilistic forecasts of scope 1 and 2 GHG emissions at a company and portfolio level by using reported emissions and data on exogenous factors to create a behavioural model of a company’s emissions profile. This evidence-based modelling provides detailed insights aimed at understanding real-world implications of moving towards a low-carbon future.
The enhanced visibility provided by Horizon supports our investment teams in interpreting the probable impact of future carbon taxes on company valuations and in identifying related climate engagements. These insights and analysis will form the backbone of our forthcoming Task Force on Climate-Related Financial Disclosures (TFCD) reporting which will be available to our clients to provide a better understanding of underlying exposures within their portfolios. It is our belief that there is an urgent need for investors to develop proprietary emissions forecasting tool like Horizon as off-the-shelf reporting tools available in the market do not provide investors with sufficient real-world insight to navigate the transition of the global economy towards a low-carbon future.
The enhanced visibility provided by Horizon supports our investment teams in interpreting the probable impact of future carbon taxes on company valuations and in identifying related climate engagements. These insights and analysis will form the backbone of our forthcoming Task Force on Climate-Related Financial Disclosures (TFCD) reporting which will be available to our clients to provide a better understanding of underlying exposures within their portfolios. It is our belief that there is an urgent need for investors to develop proprietary emissions forecasting tool like Horizon as off-the-shelf reporting tools available in the market do not provide investors with sufficient real-world insight to navigate the transition of the global economy towards a low-carbon future.
Andrew Parry, Head of Investments at J O Hambro and Regnan, said: “We are delighted to officially launch Horizon today. We have worked to develop this tool over the last 12 months that we feel is a truly groundbreaking development that will help our investors and clients make better decisions in the route to a low-carbon future.”
About J O Hambro Capital Management Limited
J O Hambro Capital Management Limited (“JOHCML”) is a UK-based active asset management company with an investment performance-led culture. It manages £ 21.7 billion of assets (as at 30 June 23) across UK, European, Asian, global/international and emerging markets equities strategies. JOHCML constrains investment strategy capacity in order to promote market-leading portfolio performance. This press release is intended for journalists in their professional capacity and is not intended to be a financial promotion. Issued by JOHCML which is authorised and regulated by the Financial Conduct Authority. The registered mark J O Hambro® is owned by Barnham Broom Holdings Limited and is used under licence. JOHCM® is a registered trademark of JOHCML.
About Regnan
Regnan was established in 1996 to investigate and address environmental, social and governance (ESG) related sources of risk and value for long-term shareholders in Australian companies. "Regnan“ is a specialist sustainable and impact investing brand of the Australian asset manager Perpetual Limited (ASX:PPT), which encompasses J O Hambro Capital Management, Thompson, Siegel & Walmsley, Pendal Australia, Barrow Hanley Global Investors, and Trillium Asset Management. “Regnan” is a registered trademark of Pendal Group Limited.
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