Sustainability Report 2021 04.1 Highlights 01 Introduction As part of our commitment to Noteworthy developments in 2021 transparency, we apply the 1. In July 2021, Allianz joined forces with seven 02 Measuring and other leading insurers to form the U.N.- managing sustainability recommendations of the G20 convened Net-Zero Insurance Alliance (NZIA). Financial Stability Board’s See section 02.1. 03 Strengthening 2. Allianz has set decarbonization targets for our foundation Task Force on Climate-related 2025 for its listed equity, corporate bonds and 04 Climate-related Financial Disclosures (TCFD). real estate portfolio. Overall emissions are to financial disclosure We strive to continuously be cut by 25 percent against a 2019 baseline. 04.1 Highlights Targets have also been set for our infrastructure 04.2 Governance enhance our climate change- portfolio. See section 04.6. 04.3 Strategy related reporting and business 3. In 2021, the Supervisory Board of Allianz SE 04.4 Strategy resilience, stress-tests and established a Sustainability Committee to climate scenario analysis practices to drive best practice oversee Environment Social and Governance 04.5 Risk and opportunity management and we collaborate with and (ESG) issues and monitor the Board of 04.6 Targets and metrics Management’s sustainability strategy. 05 Our universal principles support others to do the same. See section 05.4. This report covers the proprietary investments 4. In section 04.4, we disclose the results of as well as the insurance underwriting of Allianz comprehensive climate scenario analyses on Group. The climate-related disclosures of our both sides of our balance sheet. two asset managers Allianz Global Investors and 5. We are working to improve the ecosystem for PIMCO can be found on their respective websites. climate and sustainability disclosures by being The Allianz Group Climate Change Strategy active in Open Source Climate (a group of commits us to reach net-zero greenhouse gas corporates to jointly build a ‘pre-competitive (GHG) emissions by 2050 across our business. layer’ of modeling and data), the European This is in line with the ambitions of the Paris Financial Reporting Advisory Group and Agreement to limit global warming to a the EU Platform on Sustainable Finance. maximum of 1.5°C by the end of the century. See section 04.3.3. Our priorities include exiting coal-based business models by 2040 at the latest, enhancing our systematic approach to investee engagement and policy advocacy, and implementing the TCFD recommendations. 67