sei_vanguard_letter_apr26_scan-d4f66909dd427c7a.pdf

The Stockholm Environment Institute U.S. has called on Vanguard to move away from a passive approach to shareholder voting regarding climate risk. The letter argues that the transition to a low-carbon economy, consistent with a 2 degrees C warming limit, poses material risks to the business models of fossil fuel companies like Exxon Mobil, Chevron, and ConocoPhillips. It highlights that these companies are not systematically disclosing such risks, which could lead to stranded assets and market volatility. Consequently, the institute requests that Vanguard require its invested companies to provide annual disclosures on climate and transition risks.

• The Stockholm Environment Institute U.S. requests that Vanguard adopt a policy requiring invested companies to provide annual disclosures on climate risks, with a specific focus on transition risks that may render a company's business model incompatible with a climate-safe world.
• Climate change is identified as posing three types of financial stability risks: direct physical risks from severe weather, liability risks from parties seeking relief, and transition risks associated with moving to a low-carbon economy.
• A transition to a low-carbon economy aligned with limiting warming to 2 degrees C above pre-industrial levels would materially challenge the business models of fossil fuel companies held by Vanguard, specifically naming Exxon Mobil, Chevron, and ConocoPhillips.
• There is a concern that oil and gas companies are not systematically disclosing transition risks or adapting their models, which the International Energy Agency warns could result in stranded assets, major losses, and oil market volatility.

APA

Erickson, P., Lazarus, M., & Swartz, C. (2017). sei_vanguard_letter_apr26_scan-d4f66909dd427c7a.pdf. Stockholm Environment Institute. https://www.sei.org/mediamanager/documents/News/SEI_Vanguard_Letter_Apr26_scan.pdf

Chicago

Erickson, Peter, Michael Lazarus, and Christopher Swartz. sei_vanguard_letter_apr26_scan-d4f66909dd427c7a.pdf. Stockholm Environment Institute, 2017. https://www.sei.org/mediamanager/documents/News/SEI_Vanguard_Letter_Apr26_scan.pdf.

Wikipedia

{{cite press release |last1=Erickson |first1=Peter |last2=Lazarus |first2=Michael |last3=Swartz |first3=Christopher |title=sei_vanguard_letter_apr26_scan-d4f66909dd427c7a.pdf |publisher=Stockholm Environment Institute |date=26 April 2017 |url=https://www.sei.org/mediamanager/documents/News/SEI_Vanguard_Letter_Apr26_scan.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@misc{erickson2017seivanguardletterapr26scand4f66909dd427c7apdf, author = {Erickson, Peter and Lazarus, Michael and Swartz, Christopher}, title = {{sei\_vanguard\_letter\_apr26\_scan-d4f66909dd427c7a.pdf}}, publisher = {Stockholm Environment Institute}, year = {2017}, month = apr, url = {https://www.sei.org/mediamanager/documents/News/SEI_Vanguard_Letter_Apr26_scan.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }