Axa To Divest From High-Risk Coal Funds Due To Threat of Climate Change

"The insurance company Axa has said it will remove around €500m (£355m) of coal investments from its portfolio, in a move that reflects long-term concerns in the insurance industry over climate change.

The company has also pledged to triple its investments in green technologies and services to more than €3bn by 2020 and provide investors with more information on the risk to its investments from climate change.

Henri de Castries, chairman and chief executive of the French insurer, said the company’s duty to its shareholders and policyholders dictated the decision, citing current scientific advice that the world must avoid warming of greater than 2C above pre-industrial levels to avoid the worst consequences of climate change. He said: 'It is our responsibility, as a long-term institutional investor, to consider carbon as a risk and to accompany the global energy transition. The burning of coal to produce energy is today, clearly, one of the biggest obstacles from reaching the 2C target.'"

Fiona Harvey reports for the Guardian May 22, 2015.