The meeting in Paris in December 2015 of the Conference of the Parties (COP21) marked an enormous step forward in the global fight against climate change. It set the direction of travel for a key environmental issue: how to reduce greenhouse gas emissions in order to stop global surface temperatures rising more than to 2°C above pre-industrial levels.

The conference’s success was confirmed when the agreement cleared the threshold levels for ratification (a minimum of 55 countries emitting more than 55% of worldwide CO2 emissions) and entered into force. Never had such a comprehensive deal been ratified in such a short time.

Among its significant achievements were bringing 195 countries together in a common cause, including China and the US, the two largest national emitters of CO2. The private sector, whose participation is essential to meeting proposed targets, was more visible than ever before, and both corporates and governments committed to reduce their carbon footprint and adopt renewable energy.

COP21 confirmed the target set in Copenhagen in 2009 to raise at least $100 billion per year to 2020 to help developing countries cope with climate change mitigation and adaptation, a decision which is crucial to building trust for future action. However, the commitments made at COP21 through the Intended Nationally Determined Contribution (INDCs) were insufficient to reach the overall climate change target. To close the gap, signatories must submit new plans with increasingly ambitious targets, every five years.

COP22, held in Marrakesh, Morocco, was a different kind of meeting. Paris was about the decision framework, while Marrakesh determined the roadmap for credible progress. The much-needed “action plan” proved too ambitious to achieve in one step. But COP22 did set a 2018 deadline for a “rulebook” setting out the preparatory work for implementation, compliance and verification mechanisms as well as public financing, as well as how the financial burden will be divided between developed and developing countries.

The result of the US presidential election undoubtedly cast a shadow over the COP22 summit. Delegates were concerned as to prospective policies regarding immigration, international trade, defense, and of course environmental issues. It is difficult to predict what President Elect Donald Trump will actually do but his key appointments so far do not bode well for the US commitment to dealing with climate change.

A Trump government could potentially cut federal support for climate programs, cancel the CPP (the Clean Power Plan, which sets a national limit on carbon pollution from power plants), soften Environmental Protection Agency’s regulations and cancel the Paris Agreement altogether. These actions may also weaken the resolve of other nations.

However, A US withdrawal from COP21 agreements may prove complicated. Any opt-out will take four years to deliver because the intention to withdraw can only be announced three years after the ratification, and it would take one year to go through the process of withdrawing.

The critical challenges discussed at COP21 and COP22 are reflected in Candriam’s investment philosophy and our 20-year record as a responsible investor. Ethical responsibility towards both present and future generations through climate change mitigation and adaptation will prove vital issues for investors. That commitment arises from the conviction that the risks and opportunities that relate to environmental issues represent real financial risks and opportunities.

Energy efficiency is the best example of that convergence of interest. Low carbon technologies will see increased demand and will need to finance their growth. Investors like Candriam can back that transition in a considered and transparent way. We will help fight climate change through the best instrument we have: our investment decisions.