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Net Zero Engagement Initiative (NZEI)

An investor-led initiative aimed at helping IIGCC members align more of their individual investment portfolios with a net zero pathway through corporate engagement.

Overview

The Net Zero Engagement initiative (NZEI) is an investor-led initiative aimed at helping signatories align more of their individual investment portfolios with a net zero pathway – as set out by investor net zero commitments – through corporate engagement.

An increasing focus on value chains further highlights the importance of engagement with companies, which contribute to demand for high-emissions products. NZEI was launched by IIGCC to meet that need, offering support on investor engagement with a larger number of major emitters and their value chains. 

NZEI supports the asset-level alignment and engagement targets outlined in the Net Zero Investment Framework (NZIF), the most widely used guidance by investors who have set a net zero commitment today.

NZEI is open to all IIGCC members, including those who are not signatories of any other initiative. 

History

The Net Zero Engagement initiative (NZEI) launched in 2023 when an initial 107 focus companies received letters from more than 90 participating investors. NZEI closed its second year with 114 investors engaging with 138 companies across Europe and Asia. The initiative is now in its third year, continuing to grow and evolve.

Focus

Our goal is to help support asset managers and asset owners with their individual commitments to align their portfolios with net zero by 2050, with a focus on real economy decarbonisation. The initiative aims to help members engage with, or assess as aligned, assets that account for 70% of financed emissions in material sectors, as per the Net Zero Investment Framework (NZIF) guidance.

NZEI signatories engage companies on six core asks aligned with NZIF and general climate stewardship best-practice:

collaborative

Ambition

improving portfolios

Targets

Dislosures

Disclosures

Address climate risks

Emissions performance

Flagship tools and framework

Decarbonisation strategy

Netzero inventment framework

Capital allocation alignment

IIGCC announced in October 2025 that NZEI will now include private companies in its engagement strategy – broadening reach beyond publicly listed entities. This evolution allows investors to focus on high-emitting industries that have historically received little attention, while deepening bondholder engagement across the corporate landscape. It marks an important step in expanding collaborative stewardship to fixed income – a critical lever for financing the transition. Companies will be engaged via their publicly listed corporate debt instruments.

Get involved

Net Zero Engagement initiative (NZEI) is a voluntary, investor-led initiative open to all IIGCC members. Participants can join engagement teams and support annual engagement letters to focus list companies. To find out more and for key resources, click below.

Corporate programme

Members can find out more about current work within the corporate programme here