UAE’s Mubadala joins coalition of sovereign wealth funds supporting global climate action

Mubadala Investment Company has announced that it has officially become a member of the One Planet Sovereign Wealth Funds (OPSWF) initiative.

The initiative is an international coalition of sovereign wealth funds (SWFs) established to integrate climate change considerations into their decision making and support global climate action.

Mubadala will leverage its scale and global presence to drive positive change through the endorsement of the OPSWF Framework to reduce greenhouse gas emissions, mitigate the effects of climate change and create sustainable market outcomes, confirmed official news agency WAM.

Its membership was announced during the virtual OPSWF CEO Summit, attended by SWF members in the presence of French President Emmanuel Macron.

Mubadala has also become a full member of the International Forum of Sovereign Wealth Funds (IFSWF).

The IFSWF is a voluntary organisation of global sovereign wealth funds committed to working together to strengthen the sovereign wealth fund community through defining best practices, dialogue, research, and self-assessment.

IFSWF includes a group of almost 40 members from around the world with a variety of mandates.

The IFSWF encourages its members to adhere to and uphold the Santiago Principles , which consist of 24 generally accepted principles and practices designed to promote a more open dialogue and deeper understanding of SWF activities.

“As a responsible investor managing a global portfolio, our membership with both the OPSWF and the IFSWF demonstrates our commitment to integrating environmental, social and governance considerations when making investment decisions and as part of the overall management of our portfolio,” said Ahmed Saeed Al Calily, chief strategy and risk officer, Mubadala Investment Company.

“It is also an opportunity for us to collaborate and align with other sovereign wealth funds and reinforce our commitment to climate change, good governance, accountability and transparency.”

Mubadala, along with asset companies such as Masdar, continues to invest in sustainable energy. Today, Masdar has active investments in over 30 countries and $19.9bn deployed in global projects including wind and solar energy.