NEW YORK-- September 24, 2021 -- Moody’s Corporation (NYSE: MCO) today announced its participation in launching the Net Zero Financial Services Provider Alliance as part of the Glasgow Financial Alliance for Net Zero (GFANZ). As a founding member, Moody’s commits to align all of its relevant products and services to achieve net-zero greenhouse gas emissions by 2050, in addition to reducing its own operational emissions.

“Climate change is the world’s greatest risk multiplier and a profound challenge for economies and communities alike. The entire financial industry must take on the shared challenge of enabling an urgent shift to a resilient and sustainable economy. Aligning products and services with net-zero by 2050 will improve decision-making and accelerate the flow of capital to support the transition,” said Rob Fauber, President and Chief Executive Officer of Moody’s Corporation. “We are delighted to join the Net Zero Financial Services Provider Alliance as our latest step to empower organizations in making more sustainable decisions.”

Moody’s aims to accelerate the flow of capital to support the transition to net-zero by providing financial institutions and other decision-makers with net-zero-aligned data, products, and services to identify climate risks and investments in emerging opportunities.

The company’s products help market participants evaluate and integrate environmental, social, and governance (ESG) risks into capital allocation and long-term planning by:

· Quantifying the effects of ESG on credit ratings and integrating ESG factors into creditworthiness assessments;
· Understanding and measuring ESG performance, exposure to climate and environmental risk, and strengthening and financing sustainable transition plans; and
· Evaluating and managing ESG risks through scenario analysis, quantitative modelling, and stress testing.

Moody’s joins the Alliance alongside leading investment advisors, auditors, exchanges, index providers, ESG research and data suppliers, and proxy researchers.

The announcement extends Moody’s efforts to cut emissions and tackle the growing climate crisis, and follows Moody’s commitment to achieve net-zero emissions across its operations and value chain by 2040, bringing its original target forward by 10 years. Moody’s has also set and progressed on validated, interim net-zero science-based targets. Progress on these targets can be viewed in Moody’s recent TCFD Report (https://bit.ly/3wkWd4l) and Stakeholder Sustainability Report (https://bit.ly/3zDtZ5R).