Case Studies > The Russell Family Foundation's Journey to Net-Zero Carbon Emissions

The Russell Family Foundation's Journey to Net-Zero Carbon Emissions

Technology Category
  • Functional Applications - Enterprise Asset Management Systems (EAM)
Applicable Industries
  • Finance & Insurance
  • Renewable Energy
Applicable Functions
  • Procurement
Use Cases
  • Asset Health Management (AHM)
  • Continuous Emission Monitoring Systems
About The Customer
The Russell Family Foundation (TRFF) is a philanthropic organization founded by George and Jane Russell. TRFF is committed to investing for positive community impact and funds regional impact through community investment. The foundation is working to catalyze climate finance by modeling how to transition to values-aligned and low-carbon investment portfolios. TRFF joined the UN-convened Net-Zero Asset Owner Alliance (NZAOA) in 2022 and set an ambitious goal to achieve a net-zero portfolio by 2030. As a smaller investor, TRFF views the real-world impact of their decarbonization at the industry level and aims to model both operational and portfolio-level decarbonization strategies for other foundations, asset managers, and family offices.
The Challenge
The Russell Family Foundation (TRFF), a philanthropic organization committed to positive community impact, has set an ambitious goal to achieve a net-zero portfolio by 2030. This decision was made in alignment with their commitment to the UN-convened Net-Zero Asset Owner Alliance (NZAOA). Despite having already optimized its portfolio to be approximately 80% more carbon efficient than the MSCI benchmark through divestment from fossil fuels and investment in decarbonization technologies, TRFF recognized the complexity of the path to net zero. The challenge was not only about reaching their own net zero goal but also about setting an example for the broader philanthropic field. To achieve this, TRFF needed a comprehensive baseline of their carbon footprint, including all emission sources across their operations and their investment portfolio.
The Solution
TRFF selected Carbon Direct to calculate their carbon footprint and develop interim emissions reduction targets. Carbon Direct worked with TRFF to calculate a comprehensive footprint that captured all emission sources across their operations, including utility invoices, expenses, and business travel. They also collaborated with TRFF’s investment advisor, AlTi Tiedemann Global, to conduct a peer review of their financed emission footprint from their investment portfolio. AlTi developed a repeatable process to manage complex datasets that can translate expansive global investment portfolios into accurate financed emission footprints. Over 2023, TRFF will use the carbon footprint baselines from Carbon Direct and AlTi to set interim emission reduction targets. Strategies for emission reduction include evaluating goods and vendor services against sustainability criteria, transitioning to cleaner energy sources, reducing business travel, and implementing changes to their investment portfolio based on the assets driving outsized emissions.
Operational Impact
  • The collaboration with Carbon Direct and AlTi Tiedemann Global has enabled TRFF to calculate a comprehensive carbon footprint baseline, which is a crucial step towards achieving their net-zero goal. The process has also led to the development of actionable strategies for emission reduction, such as evaluating goods and vendor services against sustainability criteria, transitioning to cleaner energy sources, and reducing business travel. Looking ahead, TRFF plans to develop a net-zero playbook for the philanthropic field that documents best practices for carbon footprinting, emission reduction, and the role of high-quality carbon removal credits. This initiative is expected to catalyze climate action in the financial industry and inspire other foundations, asset managers, and family offices to embark on their own decarbonization journeys.
Quantitative Benefit
  • TRFF has optimized its portfolio to be approximately 80% more carbon efficient than the MSCI benchmark.
  • TRFF aims to achieve a net-zero portfolio by 2030.
  • TRFF will use the carbon footprint baselines to set interim emission reduction targets over 2023.

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