University cuts carbon footprint of investments by 64%

Carbon emissions from the University of Edinburgh’s Investment and Endowment Fund listed equities and corporate bonds have been reduced by 64% since 2018, with the Fund on track to meet its target of net zero emissions by 2040.

In support of its net zero goal and as set out in its Responsible Investment Policy, the University has committed to decarbonise its investment portfolio in alignment with a 1.5-degree pathway, from a 2018 baseline.

Analysis from Mercer, the University’s investment consultant, shows that the University is currently invested in listed companies that generate an estimated 11,000 metric tons of CO2e, around 3% of the University’s total emissions.¹

The 64% reduction since 2018 represents around 20,000 tons of CO2e, the approximate equivalent of removing 4,575 cars from the road for one year.²

To meet its interim 2030 emissions target, the portfolio’s emissions must reduce a further 28% from its current level.

Investment and Endowment Fund decarbonisation pathway

Absolute Emissions (tCO2e) for listed equity and corporate bonds, relative to the 31 July 2018 Baseline
Carbon Footprint (tCO2e / $million invested) for listed equity and corporate bonds, relative to the 31 July 2018 Baseline

The University's approach to investments is a key element of its commitment to social and civic responsibility, which underpins Strategy 2030.

Last year the University published an updated version of its Responsible Investment Policy, which sets out its current commitments to sustainable and ethical investment and its future ambitions. The University’s commitments are amongst the leading for one of the UK’s major asset owners.

Responsible Investment Policy Statement (2025)

Funding future learning and research

The Endowment and Investment Fund is made up of philanthropic donations, gifted as endowments. The Fund exists to:

provide income to support the University’s learning and research activities, and
grow in value over the long-term for the benefit of future students and researchers.

The Fund is managed by the University’s Investment Committee, who work to ensure the Fund meets its objectives and to ensure that investments comply with the Responsible Investment Policy.

The recently established Responsible Investment Advisory Group is working to review the ambition of the Responsible Investment Policy, with particular attention to human rights and armaments.

Reviewing our responsible investment policy (FAQs)

Investment committee

Responsible Investment Advisory Group

Reducing carbon, boosting social impact

While taking steps to reduce carbon emissions, the University is proactively investing in projects that address social and environmental challenges through its £8 million Social Investment Fund.

Since 2017, the University has invested £6 million across 10 impact funds, supporting projects from community-owned renewables to housing schemes for vulnerable adults.

The University has committed to make further social investments in its Responsible Investment Policy, and the first impact report for the Social Investment Fund is now available to read online.

Investing for Good: The University of Edinburgh’s Social Investment Fund

The University’s responsible investment policy also includes commitments towards nature-friendly investment practices, active ownership and regular reporting.

Funding future learning and research

Reducing carbon, boosting social impact

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