Financial institutions are faced with a lack of emissions data. In fact, today, only 3% of large corporates publish their GHG emissions. CO2 FI by BCG—our AI-powered solution for net-zero alignment in the financial services industry—solves this challenge.
Rapid baselining of the carbon footprint for a major asset manager and bank to provide the necessary transparency for establishing a robust climate action strategy. We assessed decarbonization strategies both in terms of emission reduction potential and financial impact. Emission reduction potential with neutral revenue impact was assessed to equal 18% by 2030.
Our client used CO2 FI by BCG to baseline its carbon footprint and to assess the ongoing sector-by-sector net-zero alignment. They were able to cover the entirety of the lending book with carbon emission estimates and define decarbonization strategies for their seven highest emitting sectors, amounting to an average reduction target on the emission intensity of 40% across sectors.
Experts
Our tool is just one dimension of our work with clients. Our CO2 FI by BCG team has combined expertise in financed emissions, artificial intelligence, climate analytics, climate methodology, and financial institutions’ sustainability initiatives, as well as the industries our clients serve.
Anne Kleppe joined Boston Consulting Group in 2020. She is a member of the firm's data science unit, BCG GAMMA, as well as a core member of the GAMMA Financial Institutions practice, for which she leads the work in CO2/sustainability globally.
Michael Strauss joined Boston Consulting Group in 2003. He is a member of the Financial Institutions practice and focuses on large-scale change. Michael leads BCG’s work in wholesale and transaction banking.
Amine Benayad joined Boston Consulting Group in 2012, and has been a member of the Financial Institutions and Climate & Sustainability practices. He focuses on climate transition, including net zero transformations in Europe, Asia, the Middle East and Africa, transition finance go-to-market agendas in high emitting sectors, and new low-carbon technologies financing, as well as wholesale banking, including businesses and functions transformation and tech and deeptech ecosystems and platforms.
Matteo Coppola is a member of Boston Consulting Group's Financial Services and Insurance practices. He is responsible for the risk topic in Italy, Greece, and Turkey.
Latest Thinking
Despite good intentions, companies say they are struggling to cut their emissions in line with targets. Their inability to measure appropriately is the leading roadblock.
Larry Fink, the chairman and CEO of BlackRock, the world’s largest asset manager, explains how the climate crisis is fundamentally reshaping his firm’s approach to investing.
In order to meet the Paris Agreement goals, price levels need to increase to an estimated $50-150/tonne average by 2030 from the current global average of <$5/tonne.
This guide assembles FSTF member experience, and the recommendations made in the guide provide suggestions for approaches banks can take over time as methodology, data and climate science continue to evolve.
Explore Further
BCG GAMMA combines advanced skills in computer science, artificial intelligence, statistics, and machine learning with deep industry expertise. Learn more.
Scaling artificial intelligence can create a massive competitive advantage. Learn how our AI-driven initiatives have helped clients extract value.
The time for global climate action is now. BCG helps clients accelerate their climate and sustainability journey and seize new opportunities to build competitive advantage.
SUBSCRIBE