With our Personal Value product, we achieve climate-neutrality in your portfolio in two steps.
First Step: Reducing Portfolio Emissions
In the first step we exclude stocks of emission intensive companies. Additionally, we only select your portfolio out of companies which emit less carbon dioxide than other companies within the same industry sector.
Second Step: Compensating Portfolio Emissions
In the second step we compensate for the remaining carbon emissions by donating to the myclimate foundation. This body uses the donation globally to setup climate friendly projects, which decrease CO2 in the atmosphere, thereby compensating for any excess CO2 emissions in your portfolio.
How do we calculate the Carbon Emissions of your portfolio?
We divide the total carbon emissions of a publicly listed company by the number of outstanding shares and thereby calculate the carbon emissions per share. Based on the number of shares you hold in your portfolio we calculate the carbon emission per stock position in your portfolio. Finally, we sum up the carbon emissions of all your stock position to retrieve the total carbon emissions of you overall portfolio.
Which exact Carbon Emissions are compensated for?
For the calculation of the carbon emissions of your portfolio we sum up the following carbon emissions:
- Scope 1 Emissions: Emissions from sources that are owned or controlled by the organization, such as: stationary combustion, mobile combustion, process emissions and fugitive emissions.
- Scope 2 Emissions: Emissions from the consumption of upstream generated, purchased electricity, steam or other sources of energy.
Apart from the most important greenhouse gas (carbon dioxide) produced by humans there are several other greenhouse gases. Carbon dioxide equivalent is a measure used to compare the emissions from various greenhouse gases based upon their global warming potential. In your portfolio we therefore calculate, reduce and compensate for carbon emissions using carbon dioxide equivalents.
Where do we get our information from?
For selecting stocks of appropriate companies, we are using information and assessments from over 150 global analysts of our partner MSCI ESG Research, who constantly analyzes companies for their sustainability.
In order to check activities in sensitive business areas, to record and assess controversies, assign sustainability ratings and collect data (e.g. carbon emission) our partner uses, amongst others, the following sources:
- Corporate documents
- Government data
- Popular, trade, and academic journals
- News media
- Relevant organizations and professionals
Have we got your interest?
Would you like to know by how much carbon emissions would be reduced in your personal portfolio and how much would be compensated? Set up your Personal Value Profile and find out.