Climate Action 100+ , set up in 2017, comprises more than 700 investment firms representing $68 trillion in assets.
Shareholder voting data reviewed by Reuters, however, shows that investors in the group refrain from using the biggest weapon in their arsenal - the ability to vote against board directors - even when the polluting companies refuse to act. "There are lots of asset managers not even aligned with CA100+ objectives," said Xander Urbach, responsible investment advisor at Dutch fund manager MN, which leads CA100+'s engagement with oil and gas giant ShellCA100+ said in a statement it was a voluntary initiative and cannot tell signatories what to do.
Most CA100+ members seek to persuade companies to do more on climate through "engagement", which involves lobbying corporate executives and directors, rather than voting to oust them, several members told Reuters.