AXA vows to fully divest from the coal industry by 2040

AXA has unveiled its new climate strategy, tightening its policy towards coal and launching transition bonds to facilitate the decarbonisation of the group.

AXA vowed to complete its divestment from the coal industry by 2030 in Europe and the OECD, and by 2040 in the rest of the world.

It also said it will issue transition bonds to finance efforts to transition parts of the business “from brown to green” that cannot yet achieve green bond eligibility status. “These bonds will play a key role in supporting the energy transition towards a low-carbon society,” AXA promised.

AXA also promised to increase transparency in its investment strategy by publishing annual updates.

Thomas Buberl, CEO of AXA, said the company has always been a pioneer in the fight against climate change, having taken early action to divest from coal, define its green investment targets, restrict coal-related insurance business and build collective action frameworks.

The next phase of AXA’s climate strategy will go even further, he said, accelerating its contribution to the transition towards a low-carbon and resilient economy by focusing its sustainable finance efforts towards the energy transition of major industries.