While international agreements help set the direction, progress is often shaped by the countless decisions people make every day: when homeowners decide to make their homes more energy efficient, where investors choose to allocate capital, and if businesses adopt new technologies and ways of working.

For NN, these decisions are closely linked to our role as a financial services provider. ‘We recognise that we have a responsibility to contribute to the transition. This includes investing in climate solutions, encouraging change through our role as an investor, and incorporating sustainability considerations into the products and services we offer our customers,’ says Anna Miley, Head of Sustainability and Social Impact at NN Group.

Investing in the transition and influencing change

The transition to a lower-carbon economy requires significant investment. Renewable energy projects, energy-efficient buildings and infrastructure to support electrification all need long-term funding. ‘As a long-term institutional investor, NN allocates capital to a wide range of climate solutions that contribute to climate change mitigation or adaptation,’ said Nathalie van Toren, Head of Responsible Investment at NN Group. By the end of June 2026, NN's investments in climate solutions had reached €14.3 billion.

While investment decisions play an important role in accelerating the transition, real-world progress also depends on the decisions companies make about how they operate and adapt to a lower-carbon economy.

NN combines capital allocation with active ownership. This means we engage with businesses across our investment portfolio on issues such as climate strategy, emissions reduction and transition planning. We also use our voting rights and collaborate with other investors to encourage positive change.

Climate stewardship is an important focus area. In 2025, NN updated its existing asset alignment and engagement threshold objectives, which are used to steer and monitor our corporate investment portfolio and to focus engagement with investee companies.

The company also expanded its stewardship efforts on nature-related issues, encouraging stronger commitments from investee companies to prevent deforestation and land conversion among businesses linked to high-risk commodities. This is also relevant to climate change, as forests absorb and store carbon.

Recognising that systemic challenges require collective action, NN works closely with external asset managers, engagement partners and peer investors. ‘Through collaborative initiatives, industry programmes and policy discussions, NN seeks to amplify its impact and help accelerate change beyond its own portfolio,’ added van Toren.

Helping customers and businesses adapt

New technologies are creating important opportunities to accelerate the transition. At the same time, they bring new and evolving risks that need to be understood and managed.

As businesses invest in electrification, battery storage and local energy infrastructure, confidence that these assets can be protected and insured is essential. Insurers can play an important role in creating that confidence. In the Netherlands, for example, NN's Non-life business has developed solutions to support entrepreneurs as they electrify their operations.

One example is the cover our Non-life business provides for energy hubs on business parks. ‘The hubs can help businesses manage energy supply and demand more efficiently, but they also introduce new technical, operational and liability risks. By combining tailored coverage with specialist risk expertise, NN can help businesses adopt and operate new technologies with greater confidence,’ said Adrie Heinsbroek, Manager Sustainability Business at NN Group.

NN is also focused on reducing the environmental impact of its own operations. The company has set a net-zero ambition for 2040 and continues to embed sustainability across its operations.

‘Supporting the transition is not just about how we invest or the products we offer. It is also about how we run our own business. By reducing emissions from our offices, energy use and business travel, we are working to minimise the environmental impact of our day-to-day operations,’ said Heinsbroek.

Turning ambition into action

While we are encouraged by the progress we have already made, we are also realistic about the scale of the challenge ahead. The transition to a low-carbon economy will take time, and no single organisation can drive it on its own. Real progress depends on governments, companies and the public working together to make an impact.

At NN, we are committed to playing our part. ‘Through our investments, engagement activities, the insurance solutions we offer and through our own operations, we aim to support the transition where we can make the greatest impact. There is still much more to do, but we believe that meaningful steps, taken together, can make a difference,’ added Miley.

At the same time, rising construction and land costs make it increasingly challenging to develop new homes at affordable rents. New housing must also meet high sustainability standards, requiring buildings to be energy efficient, climate resilient and built for the long term.

Addressing these challenges requires significant long-term investment and a considered approach. This is where institutional investors can play an important role and, as a large long-term investor, NN is well positioned to contribute.

Sustainability has been an important focus for NN’s investment team for quite some time. ‘For more than 15 years, sustainability has been embedded in how we manage our real estate portfolio. We work with building managers and tenants to improve the energy performance of buildings, reduce resource use and support our net-zero ambitions,’ says Marieke van Kamp, Head of Private Markets at NN Group.

More recently, NN expanded its focus to include housing affordability more explicitly. In 2022, NN launched the Positive Impact Programmatic Venture (PIPV), an initiative that invests in Dutch energy-efficient and affordable homes. Investments made as part of this initiative fit both NN Group’s climate solutions criteria and its newly created social investment guidelines, which define social investments as those contributing to affordable housing, access to healthcare or access to education.

‘Unlike most of our real estate investments, the PIPV programme focuses on developing new residential assets. The objective is simple: help increase the supply of affordable rental housing while ensuring these homes meet high sustainability standards from day one,’ says van Kamp.

The programme has a target size of €500 million. To date, around half of that amount has been committed across three projects, with the first development in Eindhoven already completed and occupied. More recently, it was announced that NN had acquired a new-build development comprising 100 rental homes in Amsterdam.

‘One of the key lessons has been the importance of getting involved early. Decisions made during the design phase can have a significant impact on a building's energy performance, climate resilience and long-term operating costs,’ says van Kamp. By helping shape projects from the outset, it is possible to incorporate measures that may be more difficult and expensive to implement later in the process.

And our approach continues to evolve. ‘While the initial focus was on delivering affordable and sustainable homes, newer projects increasingly look at the wider role housing can play within a community. This includes creating shared spaces, incorporating measures that support biodiversity and contributing positively to the surrounding neighbourhood,’ says van Kamp. ‘At the same time, increasing attention is being paid to climate resilience, including the physical risks that climate change may pose to buildings and communities over the long term.’

Our Thermal Coal Policy, first introduced in 2019, guides how we manage our proprietary investments in companies involved in thermal coal production and coal-fired power generation as part of our commitment to phase out thermal coal exposure in our corporate investment portfolio by 2030.

Thermal coal is among the most carbon-intensive energy sources and reducing our exposure remains an important part of our broader sustainability approach. Since introducing the Policy, we have reduced our thermal coal-related investments from around EUR 1.8 billion in 2019 to approximately EUR 300 million at the end of 2025. This reduction reflects a combination of investments reaching maturity, companies reducing their thermal coal activities and selective divestments.

Broadening our assessment of coal exposure

As we have implemented the Policy, we have seen that percentage-based thresholds remain useful, but do not always provide a complete picture of a company's involvement in thermal coal. For example, a company may generate relatively little revenue from coal while still being a significant producer.

To address this, we have introduced additional restrictions covering large thermal coal producers, large coal-fired power generators, and companies developing new coal mines or coal-fired power plants. While the update is expected to have only a limited impact on our current portfolio, it ensures that companies with significant coal-related activities or expansion plans are more consistently captured by our policy. This strengthens our ability to assess both current activities and future direction.

Supporting the wider transition

Our objective is not only to reduce our own exposure to thermal coal, but also to support the broader transition taking place in the real economy.

For the remaining thermal coal-related investments in our portfolio, we will continue to monitor progress against credible phase-out plans and engage with companies where feasible. Where transition plans are not credible, or progress is insufficient, we will not make new investments.

We have also formalised how exemptions are assessed. In limited cases, companies that exceed our restriction criteria may be considered for an exemption where deeper analysis shows credible transition plans and progress. This reflects our view that a rigid application of thresholds, or a single deadline, may not always fully capture a company's transition progress.

We also recognise that social, regional and employment impacts from phasing out thermal coal can affect the pace and feasibility of transition in some circumstances. Just transition considerations are therefore taken into account when assessing exemptions, where wider societal impacts justify a more nuanced assessment.

Importantly, these updates do not change our commitment to phase out thermal coal exposure by 2030. They strengthen our ability to deliver on that commitment, balancing clear restrictions with a practical assessment of real-world transition progress.

This approach reflects the balance we seek to maintain: staying firm on the need to phase out thermal coal, while supporting companies that are making real progress in their transition.

The group warns that weakening it could harm Europe’s economy at a critical time. In a joint statement ahead of key EU decisions this summer, the investors stress that a strong and predictable EU Emissions Trading System (ETS) is essential for investment, competitiveness and energy security.

From our perspective as a long-term investor, the message is simple: stability drives investment. Furthermore, stable and robust climate policies are important to incentivise a timely and orderly transition of the economy, which is crucial for us to achieve our climate ambitions.

The ETS has already delivered results. Emissions from covered sectors have fallen by around 50% since 2005. The system has also supported the shift from coal to renewable energy and strengthened energy security. A clear and reliable carbon price helps guide decisions across energy, infrastructure and industry.

At the same time, we recognise the pressure on European industry. Energy costs remain high, and some sectors face more complex and costly transitions. These challenges are real. But they should be addressed with targeted support, stronger infrastructure and innovation — not by weakening the ETS. Doing so would reduce investor confidence and risk slowing Europe’s progress in the global race for clean investment.

With an ETS review coming up and EU leaders meeting this month, NN Group and other signatories are calling for a consistent approach. The priority should be to build on what works — by strengthening the system and making better use of ETS revenues to support industrial decarbonisation and the energy transition.

In uncertain times, a stable and predictable carbon market is not a barrier to growth, but a key part of Europe’s economic future.

You can find more information about NN Group's climate approach here.

Strengthening our approach

In 2025, we further enhanced our active ownership approach by improving how we monitor and evaluate engagement progress and outcomes, and by introducing an engagement management platform to strengthen oversight and reporting. We also further developed our climate stewardship by setting 2030 objectives that aim to increase the share of assets in our corporate investment portfolio that align with a net-zero pathway. These objectives form an important part of our Paris-alignment strategy and will support our engagement across the portfolio, while focusing primarily on the top holdings in terms of financed emissions.

In terms of nature stewardship, we have set 2030 ambitions on land-use change to guide our engagement with investee companies towards stronger deforestation and conversion free commitments, particularly for high-risk commodities. The report also provides insights into our participation in stewardship programmes on human rights and transition, and human capital management. In addition, we clarified our expectations for heightened due diligence in conflict‑affected and high‑risk areas.

Overall, the report shows how active ownership remains a core element of our responsible investing approach and an important lever for encouraging positive change in the real economy.

Continuing our collaboration

Achieving our responsible investing ambitions is not something we can do alone, and collaboration is required for systemic change. In 2025, we continued to work closely with external asset managers, engagement partners and peer investors to ensure effective stewardship. We also expanded our participation in initiatives on climate and nature, for example, by joining initiatives that focused on deforestation linked to the automotive and chemicals sectors. In terms of policy advocacy, we participated in financing roundtables and government consultations on topics such as the energy transition.

You can find more information on sustainability at NN Group here.

Collaborative process, collective progress 

Participants emphasised the value of seeing how other institutions approach impact integration and how these perspectives can strengthen the sector’s collective progress. The working group included representatives from PGGM, Achmea and ASR as well as NN.  

According to Leon van Riet, NN Group CEO Netherlands Life & Pensions, who was in the board of the working group: ‘This handbook shows the impact we can make when organisations come together with a shared purpose. By combining our experience with that of our peers, we help strengthen the financial sector’s ability to support real-world change. Collaborative initiatives like this reinforce our belief that long-term value is built not only through what we invest in, but through how we work together.’ 

NN Group’s role 

NN Group Responsible Investment Strategist Bruno Besek says the handbook is expected to be a living document, regularly updated and expanded upon. ‘We now have a source of practical examples for any investor that wants to integrate impact into investment process. By sharing our methods openly, we aim to support greater transparency and accelerate progress for all,’ he says. For NN Group, involvement in this initiative builds on our commitment to responsible investing and contributing to a more sustainable economy. ‘This handbook shows that integrating impact can start at any step in the investment process, connecting what we invest in with the health of the systems our portfolios depend on,’ says Bruno. 

The handbook is now available via the DNB website: New handbook helps investors integrate impact into their decisions | De Nederlandsche Bank. 

More details on NN Group’s investment principles and approach to responsible investment can be found here: NN Group - Responsible investment

In 2024, we introduced an enhanced active ownership framework that supports alignment with industry standards and best practices, establishes thematic engagement goals, tracks engagement progress through five milestones, and evaluates outcomes against external benchmarks. Besides our voting activities at annual general meetings, we built on our relationships with our external partners to ensure we are represented through effective stewardship activities.  

We also continued our participation in industry initiatives and collaborative engagements, for example, by joining Nature Action 100 and expanding our role within the Platform Living Wage Financials. In 2024, we focused on climate and nature in our policy work, advocating for regulatory conditions that support sustainable investment. 

For more information on Sustainability at NN Group, please visit the website 

Nathalie van Toren, Manager Responsible Investment, was recently included in the ‘Top 50 Women in Sustainable Finance’ by Women in Financial Services (WIFS). We sat down with her to discuss her career in responsible investing, what drives her and what’s next.

1. What kind of work do you do, and what does a typical day look like? 
"As Manager of Responsible Investment, I co-lead the Responsible Investment (RI) team at NN Group, which drives the integration of sustainability and RI principles across the company's investment activities. Our objective is to align our investments with NN Group’s values and RI criteria, by taking into account environmental (E), social (S) and governance (G) factors in the investment process and engaging with companies to promote sustainable practices.

On a typical day, you will find me working on policy and strategy development, reporting on progress, and collaborating with internal departments such as the Investment Office, Finance, and Risk. I also spend time engaging with external stakeholders like asset managers and participating in industry initiatives."

2. Why did you pursue a career in RI, and what makes this work so interesting? 
"I pursued a career in RI after working as an equity analyst and investor relations professional. Through these experiences, I became acquainted with Socially Responsible Investment (SRI) portfolio managers who raised long-term, strategic questions about topics such as environmental issues, human rights, and health. This led me to the field of RI, which I have been involved in for the past decade.

What makes RI so interesting to me, is its focus on connecting finance with the real economy to drive positive change. This includes addressing global issues such as climate change and growing inequality. I’m particularly driven by implementing and monitoring a net-zero strategy for our investment portfolios across different asset classes."

3. Where do you see opportunities to grow? 
"One of the initiatives we have been working on is expanding the capacity of our RI team and active ownership function. We are building a team of 10 dedicated professionals, and I am excited about becoming a leading and innovative RI team in the industry.

However, growth is not just about adding more people. It is about constantly learning, evolving, and finding new ways to make a positive impact. We recognise that we have to address complex environmental and social issues, but with the right team and approach, we are confident that we can make a difference."

4. What issues are you facing? 
"As responsible investors, we need reliable and comprehensive ESG data to make informed decisions. While new regulations such as CSRD have been introduced to ensure corporations provide this data, the compliance factor can be complex and time-consuming, and it is important to constantly evaluate whether these efforts truly contribute to promoting RI.

Another challenge is how to bring about actions with real-world impact. For instance, in setting net-zero goals, there is a risk that investors may achieve decarbonisation through divestment rather than supporting real-world emission reduction. This is particularly challenging for carbon-intensive sectors like cement and steel, which are essential to the low-carbon world but hard to decarbonise. Emerging markets are another example, since they may have different priorities or less progress in meeting climate targets. Divesting may not be the best solution as it does not support these sectors and markets to transition to more sustainable practices and we may miss an opportunity to engage with them to stimulate change."

5. What’s next for you? 
"Looking towards the future of RI at NN Group, I am excited about several initiatives, such as integrating biodiversity considerations into our investment processes and strategies. We are also putting more emphasis on human rights due diligence and living wages, as we believe that these topics are important to promoting sustainability and RI.

Another focus area is the use of technology to drive efficiency and innovation. Our company is exploring the use of ChatGPT AI, which I find particularly interesting. Through this technology, we could make tasks related to ratings, benchmarks and reporting more efficient, freeing up time for more impactful activities like strategy and policy development and active ownership.

Finally, my recent nomination as one of the top 50 women in finance by WIFS is an honour. I see this as an opportunity to be an ambassador and inspire more people to work in sustainable finance."

The VBDO’s Benchmark on Responsible Investment by Insurance Companies in the Netherlands is published every two years. It assesses how 20 Dutch insurers formulate, govern, implement and report on their responsible investment policy. This year, the bi-annual report focused on climate change. Compared to VBDO’s 2021 benchmark study, NN's efforts resulted in an improved absolute score of 4.1, resulting in a fourth overall place. We were among the top performers of the benchmark, with the four top-scoring companies all receiving a four-star ranking.

As a financial services provider, we are aware of our impact on society. We use our resources and knowledge to contribute to a sustainable future. We integrate environmental, social and governance (ESG) factors into our policy and climate change is an important focus area.

Our recently updated Climate Action Plan sets out a clear roadmap to reduce greenhouse gas (GHG) emissions to net-zero in our own operations by 2040, as well as in our proprietary investments and insurance underwriting by 2050. As an investor, we enter into a dialogue with companies to encourage them to reduce their emissions. In addition, we make a positive contribution to the energy transition by investing in climate solutions. We also make customers aware of climate risks through our insurance and banking products, for example, helping them to choose sustainable damage repair, and stimulating them to live more sustainably.

We will continue to work on improving our responsible investment policy and addressing climate risks throughout our activities.

You can read the full VBDO report on their website.

Today, the Institutional Investors Group on Climate Change (IIGCC) launched the ‘Net-zero investment framework’. The framework was developed with input from global investors, including NN, and provides practical guidance on how to both decarbonise investment portfolios and increase investments in climate solutions. The framework is a clear roadmap for investors towards a net-zero carbon economy. It addresses governance, portfolio targets, asset class alignment, engagement, and strategic asset allocation. Sovereign bonds, listed equities and corporate fixed income and real estate are the asset classes covered by the framework. Currently 33 investors, managing $9.8 trillion in assets – including both asset owners and asset managers – are putting the framework to practical use.

In the video, Jelle van der Giessen, Chief Investment Officer of NN Group, explains our initiative to transition our own investment portfolio to net-zero carbon emissions by 2050.

Alongside the 2020 Annual Report, we will also publish the Carbon Footprint report tomorrow, reporting on the current carbon footprint of NN’s own investments.