Strategic Intelligence: Net Zero Strategies in Financial Services (2025)

Strategic Intelligence: Net Zero Strategies in Financial Services (2025)

Summary

This report examines the key net zero strategies in financial services, focusing on financed and insurance-associated emissions reduction, green financing, and emissions tracking with payments. It analyzes voluntary targets, regulatory pressures, and emerging financial products supporting sustainability. The report explores corporate decarbonization trends, green bonds, ESG reporting requirements and standards, and the role of fintech innovations in carbon tracking. Additionally, it assesses the impact of cryptocurrency emissions and evolving regulatory frameworks.

Lenders are promoting lower carbon businesses and business practices, helping companies to issue green financial products such as green bonds. The proceeds of such bonds must be used to improve the issuing company’s sustainability. Many leading banks have adopted targets for the amount of green or sustainable finance they aim to facilitate. Meanwhile, payments companies can use payments technologies to help customers and companies track their carbon footprint via their spend. Such initiatives are often accompanied by reward systems that offer points for sustainable purchasing choices.

Scope

• Financed emissions pose the biggest challenge for banks, asset managers, and insurers.
• Green bond issuance peaked in 2022, slowed by rising interest rates.
• Payments companies are driving innovation in emissions tracking.
• Cryptocurrency’s carbon footprint remains a regulatory challenge.

• Understand the key net zero strategies being adopted by financial services companies, including financed and insurance-associated emissions reduction, green financing, and emissions tracking in payments.
• Benchmark leading financial institutions on their financed and insurance-associated emissions targets and sustainability commitments.
• Explore the role of green financing in driving sustainable investments, including green bonds, venture capital, and climate-related insurance products.
• Assess emerging trends in carbon tracking within the payments industry, including initiatives by Visa, Mastercard, and American Express.
• Gain insights into cryptocurrency’s carbon footprint and methods for calculating emissions associated with digital assets.
• Identify risks and opportunities associated with the transition to net zero in banking, asset management, and insurance.