Private companies’ carbon footprint data challenges are the main barrier for asset owners providing climate impact disclosures as recommended by the Taskforce on Climate-Related Financial Disclosures.
The TCFD has surveyed 150 asset owners and asset managers about their experiences completing TCFD-recommended disclosures. Among the respondents, 50 percent of asset owners and 80 percent of asset managers reported in line with at least one of the TCFD-recommended disclosures – which are voluntary in most jurisdictions and apply to portfolios as a whole, including public and private markets investments.
Eighty-four percent of asset owners said insufficient availability of emissions information for private markets investments was a barrier to them completing TCFD-recommended disclosures across their portfolios, making this the most common challenge. For asset managers, however, public markets present a challenge more often: 62 percent said insufficient information in public markets was a barrier to completing TCFD disclosures, while only 42 percent attributed the problem to private markets.