European financial authorities are talking up the potential of the systemic risk buffer to capture physical and transition risks, but the tool has its shortcomings Bank regulators must be fond of capital buffers. Otherwise they wouldn’t have so many in their rulebooks. In Basel III — the incoming global regulatory framework defined by the Basel […]
Alex
Brand Watch: Under the spotlight as never before, companies turn to AI to get their numbers right
The mining industry needs to do a better job telling its story on climate-related risks and opportunities
Weekly round-up: May 2-6
The top five climate risk stories this week 1) Wells Fargo sets portfolio emissions targets Wells Fargo published 2030 portfolio emissions targets on Wednesday, the last of the major Wall Street banks to do so. The San Francisco-based lender set targets for two sectors: oil and gas and power. It intends to cut absolute emissions in […]
Managing Climate Risks for Credit Unions
As climate change continues to impact the world, there is a growing recognition that physical and transition risks threaten credit unions and the wider financial system. Credit unions need to be aware of these risks and opportunities and incorporate them into their business and financial decision-making. Stakeholder awareness of these risks has grown substantially over […]
Climate risk regulation rundown: April 2022
What happened in climate-related financial regulation last month, and what’s coming up Lael Brainard was confirmed by the US Senate as the next Vice Chair of the Federal Reserve on April 26. Brainard has served as a Fed Governor since 2014, and previously worked as Under Secretary of the US Treasury Department. In recent years, Brainard has […]
Weekly round-up: April 25-29
The top five climate risk stories this week 1) UK taskforce to develop “gold standard” for transition plans The UK government launched a Transition Plan Taskforce (TPT) on Monday to direct companies on developing and implementing effective decarbonization strategies. Over a two-year period, the TPT will develop recommendations for a ‘Transition Plan Disclosure Framework’ that UK publicly […]
Could banks’ role in carbon markets be threatened by high capital charges?
A new study by the International Swaps and Derivatives Association suggests market risk rules unfairly penalize carbon trading Carbon markets yo-yoed dramatically in the wake of Russia’s invasion of Ukraine. Futures on European Union Allowances (EUA), the derivatives contracts that facilitate the trading of greenhouse gas emissions in the EU, tumbled 29% from February 28 […]
How the ISSB Standards Could Transform Sustainability Reporting: A White Paper
The International Sustainability Standards Board (ISSB) released draft sustainability- and climate-related disclosure standards on March 31, 2022. These standards have the potential to become the baseline for corporate reporting around the world and to dramatically increase investors’ understanding of climate-related risks and opportunities. Our white paper describes the ISSB’s origins and purpose, as well as […]
Weekly round-up: April 18-22
The top five climate risk stories this week 1) GFANZ pressured to raise climate ambitions Strong leadership is needed to stop the Glasgow Financial Alliance for Net Zero (GFANZ) from becoming a “smokescreen” to mask inaction by banks, asset managers, and asset owners on decarbonization, climate groups say. In a letter sent Thursday, on the first anniversary […]