Sustainability means being more viable as a business for the long term. That means taking action now to address ongoing challenges, including environmental, social and governance (ESG) risks and opportunities, to ensure we can continue to help current, and future, generations to live the lives they want.
We believe that well governed businesses, run in a sustainable way, could result in stronger, more resilient investment returns in the long term for shareholders, and better outcomes for society.
In 2020, we set ourselves specific and ambitious targets in our two sustainability priority areas: climate change and diversity and inclusion. But we have also set ourselves the broader goal of embedding sustainability in everything we do, to ensure we remain able to deliver on our purpose of helping people live the lives they want while making the world a little better on the way, and continue to try to deliver stronger returns for shareholders in the long term.
Our 10 point plan reflects where we are on our journey to becoming a fully sustainable business, but we still have much more to do as scientific knowledge, data, regulation, and consumer habits and preferences evolve at lightning pace alongside us.
Businesses have a crucial role to play in the achievement of global and regional carbon reduction targets. In March 2020, we announced our target to achieve net zero carbon emissions across our operations by 2030 at the latest. Our corporate strategy to achieve this goal has three pillars, summarised as Places, Partnerships and People. “Places” includes actions to reduce emissions and across our global office estate and transport. “Partnerships” aims to achieve net zero emissions in our supply chain, which accounts for the majority of our carbon emissions; and “People” will drive improvement across other areas, such as the way we serve customers, and how we build a culture of sustainability among colleagues.
As a steward of our customer’s capital, actively managing the savings of millions of people around the world, M&G will use our influence to accelerate the transition to a greener, cleaner economy. We will invest to enable sustainable economic development that benefits society as a whole, while at the same time aiming to fulfil our commitment to generate financial returns. We will align our influence as a global investor and asset owner with the Paris Agreement, and use it to drive positive change, to decarbonise the energy system and increase energy and resource efficiency. As an asset owner, we have discretion over sustainability policy and strategy, and we will work in partnership with our clients to achieve their investment objectives while transitioning their investments to net zero by 2050.