Trucost News / 26 Nov 2019

Trucost launches Physical Risk Analytics to help assess risks and opportunities from climate change

New dataset and analytics enables investors, companies and governments to weigh risk of companies’ assets from physical impacts of climate change

Trucost, part of S&P Global, has launched Climate Change Physical Risk analytics, to help investors, companies and governments understand the exposure of businesses’ assets to climate change. The launch of the new dataset is especially significant as investors and companies are increasingly considering the effects of global climate change and the risks it poses on companies’ future growth

The recently released Trucost Climate Change Physical Risk analytics evaluated 15,000 companies representing 99% of global markets. The study found wildfires, heatwaves and hurricanes, linked to increasing global temperature, are the greatest risk to physical assets. Further revealing, almost 60% of companies in the S&P 500® and more than 40% companies in the S&P Global 1200 have physical assets which are at high risk of climate change impacts. Find the full report here Understanding Climate Risk at the Asset Level: The Interplay of Transition and Physical Risks.

Richard Mattison, CEO, Trucost, part of S&P Global, said: “We have witnessed the devastating effects of global climate change, be it in the form of wildfires, hurricanes, floods or sea-level rise. These weather patterns are set to increase in frequency and impact, and it is imperative that market participants fully understand the risks of climate change to company assets and take steps to mitigate them.” Richard added: “The addition of the Physical Risk dataset to our Climate Analytics Toolkit will allow our customers to assess the interplay of physical and regulatory transition risks facing companies.”

The new datasets and analysis have been designed to allow customers to report in line with the recommendations of the Taskforce on Climate-related Financial Disclosures (TCFD), an initiative by the Financial Stability Board to help companies and investors respond to climate change risks. The datasets evaluate corporate exposure to 7 climate change hazards based on over 500,000 physical corporate assets from 15,000 companies globally. Trucost’s Physical Risk methodology was developed with input from experts in the investment, business and scientific community. DWS were part of this expert group and provided an investor perspective on physical risk in the research paper.

Learn more about Trucost’s Climate Change Physical Risk dataset

About S&P Global Market Intelligence At S&P Global Market Intelligence, we know that not all information is important—some of it is vital. We integrate financial and industry data, research and news into tools that help clients track performance, generate alpha, identify investment ideas, understand competitive and industry dynamics, perform valuations and assess credit risk. Investment professionals, government agencies, corporations and universities globally can gain the intelligence essential to making business and financial decisions with conviction. S&P Global Market Intelligence is a division of S&P Global (NYSE: SPGI). For more information, visit www.spglobal.com  

About Trucost, a part of S&P Global   Trucost is part of the S&P Global family, operated by S&P Market Intelligence. Trucost assesses and prices risks relating to climate change, natural resource constraints and broader ESG factors. Companies and financial institutions use Trucost intelligence to understand exposure to ESG factors, inform resilience and identify the transformative solutions of tomorrow. Trucost data also underpins ESG indices, including the S&P 500 Carbon Efficient Index® and -S&P/IFIC Carbon Efficient Index®. For more information, visit www.trucost.com  

Media Contact   Sabrina Mayeen S&P Global | Market Intelligence +44 (0)20 7176 0495 Sabrina.Mayeen@spglobal.com

Publication / 25 Nov 2019 Understanding Climate Risk at the Asset Level: The Interplay of Transition and Physical Risks

How could the interplay between regulatory transitional risks and physical risks impact the performance of companies across sectors and geographies?

Read publication
26 November, 2019
Events Webinar: Developing SDG Analytics for Financial Portfolios

Your feedback is invited as we develop SDG Analytics for Financial Portfolios

Find out more
1 October, 2019
Events Webinar: Incorporating Physical Risk in TCFD Portfolio Climate Reporting

Join Trucost's complimentary webinar to hear expert opinion on how physical risk factors can impact TCFD reporting.

Find out more

VIEW ALL NEWS & INSIGHTS