RECOMMENDATIONS FOR ASSET MANAGERS 2025

Reclaim Finance outlines a comprehensive framework for asset managers to drive real-economy decarbonization. It advocates for the adoption of robust transition plans based on five steps: decarbonization targets, strategy, engagement, reporting/governance, and just transition/biodiversity. The report sets specific phase-out dates for fossil fuel assets—including coal by 2030 in OECD/European countries and 2040 globally—and demands that asset managers use specific databases like the Global Coal Exit List (GCEL) and Global Oil & Gas Exit List (GOGEL) to implement restrictions. It further details an escalation strategy for engagement and strict voting principles, recommending that asset managers vote against director re-elections and executive remuneration if companies fail to publish science-based transition plans or continue fossil fuel expansion.

• Asset managers should implement transition plans consisting of five key steps: decarbonization targets, a detailed decarbonization strategy, a public and private engagement strategy, reporting and governance mechanisms, and considerations for just transition and biodiversity.
• Climate transition plans and policies must apply to all assets under management (AUM), including passive funds and third-party mandates, unless clients specifically opt out.
• To identify companies for restriction, asset managers are advised to use the Global Coal Exit List (GCEL), the Metallurgical Coal Exit List (MCEL), and the Global Oil & Gas Exit List (GOGEL).
• The report recommends a total phase-out of thermal coal power and mining by 2030 in OECD and European countries, and by 2040 worldwide.
• Asset managers should stop new investments in companies developing new upstream and midstream oil and gas projects and adopt a full phase-out date for these activities by 2050.
• For the power sector, the document recommends a phase-out of coal power by 2030 in OECD/European countries and 2040 globally, and a phase-out of gas power by 2035 in OECD/European countries and 2040 globally.
• Asset managers are urged to adopt a systematic escalation strategy for engagement, where divestment is the final step after other sanctions, such as voting against management resolutions, have failed.
• Asset managers should vote against the re-election of directors and the remuneration of top executives if a company fails to publish a comprehensive climate strategy aligned with a 1.5°C trajectory or continues fossil fuel expansion.
• For oil and gas companies, asset managers should vote against dividend payouts and share buybacks if the company invests less than 50% of its capital expenditures in sustainable energy by 2030.

APA

Reclaim Finance (2025). RECOMMENDATIONS FOR ASSET MANAGERS 2025. https://reclaimfinance.org/site/wp-content/uploads/2025/11/0_All-recos-for-AM_2025_MAJ.docx.pdf

Chicago

Reclaim Finance. RECOMMENDATIONS FOR ASSET MANAGERS 2025. 2025. https://reclaimfinance.org/site/wp-content/uploads/2025/11/0_All-recos-for-AM_2025_MAJ.docx.pdf.

Wikipedia

{{cite report |author=Reclaim Finance |title=RECOMMENDATIONS FOR ASSET MANAGERS 2025 |date=2025 |url=https://reclaimfinance.org/site/wp-content/uploads/2025/11/0_All-recos-for-AM_2025_MAJ.docx.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{reclaimfinance2025recommendations, author = {{Reclaim Finance}}, title = {{RECOMMENDATIONS FOR ASSET MANAGERS 2025}}, institution = {Reclaim Finance}, year = {2025}, url = {https://reclaimfinance.org/site/wp-content/uploads/2025/11/0_All-recos-for-AM_2025_MAJ.docx.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }