The top five climate risk stories this week 1) Reflect climate risks in bank supervisory ratings — report US regulators should factor climate risks into banks’ supervisory ratings, a progressive think tank says. Supervisory ratings are assigned to firms by their primary supervisor after on-site examinations. A bank with a low rating must take prompt […]
Alex
Regulatory orthodoxy and the hunt for climate risk differentials
Prudential frameworks are ill-suited to weighing the relative risks of green and non-green assets Bankers are floundering in their search for climate risk differentials — the great white whale of climate finance. Finding these differentials could help justify the introduction of ‘green supporting factors’ (GSF), which lower capital requirements for climate-friendly assets, and ‘brown penalizing […]
Climate Trends: Strengthening Transition Plans Climbs to the Top of the Regulatory Agenda
A transition plan is the backbone of an organization’s climate strategy as it sets out how a company, public body, or financial institution intends to adapt to a low-carbon economy. Organizations that make climate commitments — like greenhouse gas (GHG) emissions reduction targets — and don’t produce transition plans are failing their stakeholders. This is […]
Weekly round-up: May 30 – June 3
The top five climate risk stories this week 1) DWS Group chief resigns after greenwashing raid The head of global asset manager DWS Group said on Wednesday he would resignfollowing a raid on the company’s Frankfurt offices by German authorities investigating greenwashing claims. Asoka Woerhmann, who has captained the near $1 trillion asset manager since 2018, […]
TCFD – What Does Good Look Like?
The Task Force on Climate-related Financial Disclosures is the world’s premier framework for reporting climate risks and opportunities. It’s won the support of more than 3,400 organizations in over 95 jurisdictions and is being used by a number of regulatory authorities as the foundation for mandatory climate disclosure requirements. The 11 TCFD recommendations, organized across […]
How Climate Tech Enables the Climate Transformation
Manifest Climate’s CEO and Co-Founder, Laura Zizzo, spoke at the Sustainable Investment Forum Europe 2022 about how climate tech can foster climate transformation. The conversation covered everything from firms’ climate journeys to technology’s role in supporting and promoting them. Here are some key takeaways: Leaders need to ask the right climate-related questions In today’s complicated […]
Climate risk regulation rundown: May 2022
What happened in climate-related financial regulation last month, and what’s coming up The US Securities and Exchange Commission (SEC) extended the public comment period for its proposed rule on climate risk disclosures to June 17. This followed comments from stakeholders arguing that the original 39-day comment period was too short to consider a rule of this magnitude. On May […]
Weekly round-up: May 23-27
The top five climate risk stories this week 1) Climate risks could slash UK bank profits — BoE UK financial institutions could see their annual profits cut by 10-15% on average because of climate risks, the results of the Bank of England’s (BoE) inaugural climate stress test show. The central bank said the findings, released Tuesday, “could […]
Reflections on the BoE’s climate stress test
The Climate Biennial Exploratory Scenario exercise is over. But the debate over what the results mean for banks, supervisors, and the UK financial system has just begun All the way back in December 2019, before most of the world had heard of a disease called COVID-19, the Bank of England (BoE) announced it would conduct […]
How Businesses Can Cut Through the Noise of Climate News
The firehose of climate news is often difficult for companies to interpret for decision-useful information. From scientific and regulatory developments to updates on global climate commitments, new standards, initiatives, and company announcements, corporate leaders need to stay on top of what’s happening in order to make informed business decisions. But with the constant flow of […]