Ratings and index provider MSCI has committed to the goal of net-zero greenhouse gas (GHG) emissions before 2040. It had previously pledged to reduce by 2035 the company’s Scope 1 and 2 emissions by 50%, and Scope 3 emissions by 20%.

To achieve the 2040 goal throughout its global operations, MSCI will prioritize reducing emissions; accelerate carbon-reduction initiatives focusing on the most material and controllable emissions, such as electricity consumption, business travel and employee commutes; favour green-certified buildings for MSCI offices; promote a flexible working environment for employees; and encourage virtual meetings and low-carbon options for business travel.

It will also engage with suppliers to tackle emissions in the MSCI supply chain and prioritize engagement with major suppliers to achieve shared net-zero goals.

The company will review and publish revised interim targets using standardized metrics and initiatives, such as those developed by the Taskforce on Climate-Related Financial Disclosures.  It will also supplement its transition strategy as best practices and technological developments emerge. 

“Companies have a fundamental responsibility to reduce their impact on the planet and join the journey to a decarbonized economy,” says Henry Fernandez, chairman and chief executive officer, MSCI. “MSCI’s commitment reflects our obligation to be good stewards of the capital that long-term shareholders entrust to our company.”