Welcome 02 Acting on climate risks and opportunities Shaping pathways to a sustainable future 03 What sustainable investing As an active investor, we look for After becoming a NZAM signatory in 2021, means to us 04 we submitted interim targets at the beginning of innovative ways to reallocate capital to 2022. As the first step, these targets cover listed equity, Shaping pathways for a sustainable future Acting on climate risks support a climate transition that meets and opportunities 05 corporate debt, infrastructure equity, and infrastructure Funding the world’s the goals of the Paris Agreement. We debt, and reflect the targets set in 2021 by Allianz Sustainable investing 06 joined the Net Zero Asset Managers for its proprietary assets based on its commitment largest offshore as a member of the UN-convened Net-Zero Asset windfarm Active stewardship 08 initiative in 2021 and published our Owner Alliance. Collaborative engagement 09 annual Task Force on Climate-Related The assets in-scope for these targets represent 12% Financial Disclosures (TCFD) Report. of AllianzGI’s overall assets under management. In December 2021, Allianz Capital Influencing companies According to the World Economic Forum’s Global Risks The submitted targets include: Partners (ACP) announced its agreement through proxy voting 10 Report 2022, failure to mitigate or adapt to climate Listed equity and corporate bonds – 25% GHG to purchase a 25.2% stake in the AllianzGI as a change comes first in the top 10 global risks over the reduction, Scopes 1 and 2, by the end of 2024 Hollandse Kust Zuid (HKZ) windfarm sustainable business 11 next decade. In this context, we help our clients reflect (baseline year: 2019). in the North Sea. climate risks and opportunities in their holdings to Infrastructure equity – 28% GHG reduction, Scopes 1 shape pathways towards net zero. Next to mainstream and 2, by the end of 2025 (baseline year: 2020). Once fully operational in 2023, it will be the largest strategies, we offer climate thematic and impact-driven offshore windfarm in the world with 140 wind opportunities such as green bonds, climate transition Infrastructure debt – Our target is to grow the share turbines and a total installed capacity of 1.5GW. equity and illiquid renewable energy equity. These of low-emitting and EU taxonomy-eligible assets. specialised assets contribute to the alignment of an At AllianzGI, we will focus continuously on our net- asset owner’s portfolio and its compatibility with climate zero commitment as a signatory of NZAM. In the transition targets. near future, we will increase the scope of our assets Our sustainable investment team, portfolio managers and set intermediate targets for our third-party client and analysts monitor and assess the science, regulatory assets. We will continue to actively engage with our response and business implications of climate change. institutional clients and distributors on integrating We engage with companies on climate-related issues net-zero objectives in their investments and into our and encourage them to report on TCFD and Science mutual funds. We plan to review our targets and Based Targets to improve the quality of disclosures progress annually. For more information provided to our investors, positioning them to meet their Increasing transparency on climate-related risk climate ambitions more precisely. management process, Membership of the Net Zero Asset Transition and physical climate factors may pose please read our separate Managers initiative a significant risk or opportunity through the assets TCFD Report 2021. we manage on behalf of our clients, the investment We aim to be as transparent as possible in our products at the core of our business, and how we climate-related profile, including the disclosure of our operate as a business. We support and implement investment-related climate metrics. As a committed the recommendations of the TCFD. signatory of the Net Zero Asset Managers initiative (NZAM), we support the goal of net-zero greenhouse gas (GHG) emissions by 2050 – in line with global efforts to limit warming to 1.5°C.