Publication / 03 Dec 2018

How Can Banks Apply a Quantitative Lens on Climate Risk Exposure?

Aligning with the Recommendations of the Taskforce on Climate Related Financial Disclosures (TCFD)

The signals are clear: central banks and regulators are stepping up action to address the potential systemic risks to financial markets that climate change poses.

This means it will become increasingly necessary for banks to develop a deeper understanding of how climate issues could affect their businesses and those they finance. By effectively managing and responding to these issues, banks can not only help mitigate the risks, but also seize the opportunities presented from the transition to a lower-carbon economy. Trucost has worked with banks for more than a decade to support their climate-related analysis. This paper provides practical guidance to help banks manage and report key climate-related metrics, no matter what level of ambition they may have.

This paper is organized into five sections:
I. What is the TCFD Framework?
II. Measuring the Carbon Footprint of a Bank
III. Translating Climate Exposure into Financial Risk
IV. Incorporating Scenario Analysis
V. Creating Opportunities

18 June, 2020
Events Building Best in Class ESG Practices’ – Webinar

In this Webinar we will take a look at how global banks and asset managers can build best practices around data quality, assessment frameworks and risk modelling. Christopher Perceval – Director and Head of Business Development EMEA at Trucost, part of S&P Global will be speaking at this event. For more info or details...

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16 June, 2020
Events ESG Disclosure and Due Diligence:  Through the Lens of Equity Capital Markets – Webinar

AFME’s first sustainable finance webinar will explore the increasingly important topics of ESG Disclosure and Due Diligence and more specifically, what they mean for Equity Capital Markets. With the support of our co-hosts, Allen and Overy, we’ll be using their planned report as a foundation to discuss further implications, challenges and projections around these...

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3 February, 2020
Events Green Finance Summit – Phoenix – 3 – 4, 2020

The GreenFin Summit follows a successful launch event in 2019. That invitation-only event brought together 100 corporate sustainability leaders, major public-sector pension fund executives and leading financial institutions, with over a trillion dollars of combined assets under management. The discussion broached vital topics in ESG that will be expanded upon at the 2020 Summit. Richard Mattison...

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