IG Group - Net Zero Strategy
IG Group will be familiar to those trading or investing in the financial markets. The award-winning group has developed platforms, products and exchanges to provide a wide range of investment opportunities worldwide. Against this backdrop and a growing concern about the credentials of companies in which money is invested, IG Group wanted to demonstrate their own commitment to Net Zero.
They looked for accuracy, professionalism, a wide range of services, a good value-match and a consultancy which would become a long-term partner – this was Energise.
Journey to Net Zero
We have worked with IG Group on multiple projects and schemes to support their Net Zero journey, including:
- Maintaining carbon neutrality in line with PAS 2060 and monitoring alignment with the forthcoming ISO 14068
- Aligning with Task Force for Climate-related Disclosures (TCFD)
- Supporting on the delivery of annual improvements in rating and score with the Carbon Disclosure Project (CDP)
- Developing a clear and actionable Pathway to Net Zero
- Supporting on the engagement of IG’s workforce in the Pathway to Net Zero
- Providing understanding of how to become Lifetime Neutral for Scope 1 & 2 carbon emissions
- Meeting the compliance requirements of the Energy Savings Opportunity Scheme (ESOS)
- Compiling a climate related risk and opportunities register to inform strategic decision making
We developed their Pathway to Net Zero from a top-down and bottom-up approach; top-down led by societal changes from external policy and bottom-up approach based on the actions that IG group could take.
Providing carbon offset opportunities
Energise provided a platform not just to identify carbon offsets, but to look at which offsets were a good fit with the Group’s ethics and when it was most economical to purchase them. We monitor carbon markets daily to find opportunities, including investing in cleaner cooking stoves in Africa, building dams and investing in renewable projects.
Building a team
Integrating carbon reduction in the Group required teamwork. We supported the set-up of internal groups that are developing their environmental strategies and managing their climate-related risks and opportunities. We are also developing with them a dedicated data collection standard which will support not only timely provision to the required standard but lead to a more accurate measurement of their carbon footprint.
IG Group occupy mostly landlord-owned office buildings, which limited the quality of data and actions that could be taken short-term. For Scope 1 and 2, we are working with IG Group to develop minimum standards for leased buildings, which will result in worldwide standards and more control without the financial burden of owning buildings. Standardisation is also being applied across IG’s supply chain where a consistent set of requirements will be needed to work with the Group and expand IG Group’s impact within the Net Zero landscape. Standards are also being developed in relation to travel, again supporting the organisation’s overall carbon reduction ambitions. IG likes to empower its people and having a set of standards means decisions can be taken locally and quickly.
Understanding and Managing Risk
Energise worked with IG Group to support their understanding of climate related risks and opportunities that may impact the organisation over the short, medium and long term. The initial and then ongoing review supports IG’s strategic decision making as well as meeting the requirements of TCFD and positively impacting their CDP score.
IG Group use Energise’s bespoke Net Zero Hub to capture and build their Carbon Footprint. They can access and export all information, which means they can run reports at any time. Energise provides training and ongoing support for IG using the Hub.
We used our in-house developed Net-Zero scenario modelling tool to generate IG Group’s Pathway to Net Zero which will also support their ambitions to set a science based target.
In addition we gave advice to the Directors on a range of topics, including crypto currency and the sustainability of trading in crypto, which takes enormous processing power and energy. IG Group now have a greater understanding of the relevant risks relating to the impacts of climate change, which in turn supports the ongoing requirements of TCFD.