Paris, 12 May 2023 – Amundi’s shareholders today approved the asset manager’s climate plan at its annual general meeting (AGM). The Crédit Agricole subsidiary, Europe’s second largest investor in fossil fuels (1), nevertheless continues to invest unconditionally in companies developing the most new oil and gas projects. When challenged by Reclaim Finance about its investments, in particular the purchase of bonds, and its inconsistent choices as a shareholder, Amundi shrugged off the question claiming it was supporting companies in the transition, without providing any evidence of the effectiveness of their shareholder dialogue. Reclaim Finance is urging Amundi’s new chair, Philippe Brassac, to change course.
Amundi’s climate plan was approved by 98% of shareholders, despite being opaque and incomplete, without any relevant performance indicators (2), allowing Amundi to carry on making new investments in most of the companies developing new oil and gas projects. Shareholders also supported the remuneration and renewal of the Board of Directors, including Laurence Danon-Arnaud, Chair of the Strategy and CSR Committee.
Every day that goes by without Amundi reinforcing its commitments is another day that condones the strategies of companies like TotalEnergies to develop new oil and gas projects. And yet, instead of demanding a solid policy to stop supporting fossil fuel expansion, shareholders have chosen once again to give Amundi the green light. This is lamentable. We call on Amundi’s institutional clients to react and reconsider their choice of asset manager.
Lara Cuvelier, Sustainable Investment Campaigner at Reclaim Finance
Reclaim Finance questioned Amundi’s management about the purchase of oil and gas industry bonds and about the credibility of its claimed desire “to accompany companies in their transition”. The asset manager holds at least US$16 billion in the companies developing the most new oil and gas projects (3), holdings which contradict the International Energy Agency’s scientific conclusions and projections to align with a 1.5°C trajectory (4).
Amundi’s position is incoherent – it claims to want to support oil and gas companies as a whole, despite being against new fossil fuel production, and refuses to criticise TotalEnergies‘ climate plan. This is tantamount to being complicit in the expansion strategy of the oil giant, which is the world’s 7th largest fossil fuel developer. However, Amundi’s embarrassment is becoming more and more palpable, as shown by the recent request made by Amundi to the financial platform Bloomberg to no longer appear as the largest shareholder of TotalEnergies. (5)
Lara Cuvelier, Sustainable Investment Campaigner at Reclaim Finance
Indeed, this request for change, made a few days before its AGM and jst a few weeks before that of TotalEnergies, looks like an attempt to minimise its links with the French oil giant, which has faxced strong criticism for its climate change strategy.
Reclaim Finance asked Amundi about this and what it would be voting on at TotalEnergies’ AGM on 26 May, but did not receive a reply. TotalEnergies will consult its shareholders on its climate strategy at its AGM and will put to the vote a climate resolution tabled by investors asking the French oil company to set indirect emissions targets (scope 3) in line with the Paris Agreement.
Amundi voted in favour of TotalEnergies’ climate plans in 2021 and 2022 (6), but could still change its position. The Church of England pension fund, a Shell shareholder, has announced that it will vote for the first time against the company’s climate plan at its AGM and in favour of the climate resolution tabled by shareholders (7).
Reclaim Finance calls on Amundi to adopt a strong climate plan to stop supporting oil and gas expansion. The first step would be to vote against all climate plans of the oil and gas majors, whose strategies are not aligned with 1.5°C scenarios.
