Investors are, by necessity, experts at taking calculated risks. They scan the horizon of our ever-evolving world for new and sometimes unexpected economic challenges so that they can put their money where it’s most likely to grow. Today, financial institutions are facing one economic challenge that will fundamentally change the way we do business—climate change.
Climate change is a risk that, while significant, is oftentimes misunderstood by the financial community. A warmer world introduces new, complex and interwoven layers of risks ranging from physical, financial, regulatory and reputational. So WRI and the UNEP Finance Initiative (UNEP FI) worked with more than 150 participants from the financial sector to create the Carbon Asset Risk Discussion Framework, a tool to help financial institutions undertake the difficult task of identifying and understanding climate-related risks to their portfolios.
For the complete article, please visit the World Resources Institute's Blog.
Scientists across the globe are developing live dashboards to study the natural world in unprecedented detail - ushering in a new age of opportunities and ethical dilemmas.
Jair Bolsonaro, Brasil’s current de facto presidential frontrunner, says he would withdraw Brazil from the Paris Agreement if he wins the October election. The withdrawal of such an important developing country, home to the world’s largest rainforest, would deal a blow to international climate cooperation. Bolsorano’s opposition to the international pact has drawn criticism from the UN’s environment chief.
Until now, no one had seriously doubted that relations between the US and Europe, for all the difficulties and conflicts they have gone through, would continue safe and sound. Since Trump was elected as US President however, the atmosphere has changed. The re-nationalisation of the world order has gained speed and is making clear how far advanced global interdependencies have become. With global multilateralism in crisis, climate diplomacy could act as a new driving force.
There are only a few weeks to go before international and local leaders from states, regions, cities, businesses, investors and civil society travel to the Global Climate Action Summit in San Francisco to create a new wave of mobilization. As Earth is at risk of entering a situation of extreme conditions, those going must bring along more than just flowers in their hair.