Methodologies and tools to evaluate the financial impact of climate-related risks and opportunities

As the demand for disclosure of climate related risks and opportunities scales up in the financial sector, firms are responding by implementing reporting frameworks following guidelines like the Recommendations set out by the Task Force on Climate Related Financial Disclosures (TCFD).

To improve the quality and transparency of climate information sought by investors, firms are looking for effective methodologies to improve their evaluation of the financial impacts of climate change in the medium/long run. Think-tanks and research centres have already begun elaborating and testing systems to reach these objectives, particularly for what concerns the energy transition risks and the physical risks related to climate change.

Through the participation of high-level international experts, the workshop presented some of the most interesting instruments and methods in this field. The workshop also presented the British approach to implementing the Recommendations of the TCFD within the national disclosure guidelines, with the purpose of representing a valuable lesson for the Italian firms. The final session discussed the role of the information that results from these tools for firms and investors.

The DERISK-CO PROJECT, developed at FEEM, aims at mapping and evaluating such methodologies, so as to stimulate a scientifically founded debate on the relevance of disclosing climate information, and to give valuable insights for Italian businesses.

In collaboration with: Forum per la Finanza Sostenibile.

With the support of: Assicurazioni Generali, Cattolica Assicurazioni, Saipem and Utilitalia.