Climate Risks and Opportunities:  Insights from S&P Global Market Intelligence

Subscribe to receive climate risk insights directly to your inbox

Label

Key Considerations When Assessing Climate Risk

The European Central Bank’s (ECB) 2022 climate stress test revealed considerable data and methodological gaps that banks will need to address to measure and manage climate risk. We surveyed credit 
risk professionals within commercial banks in September 2022 to assess how far along the journey they are to building a robust climate risk stress-testing framework, which revealed the following insights.

Did you know?

67%

have not started or are in the initial planning stages of assessing climate risks

47%

felt the main challenge of quantifying climate related risks is having methodology to link climate scenarios to financial impact at the counterparty/obligor level

69%

are beginning to look for robust climate risk tools and models

Climate Risk Insights

Discover key insights to help you assess credit risk and opportunity in a changing climate.

Featured Content
Using Scenarios to Evaluate the Medium- to Long-Term Impact of Transition and Physical Climate Risks on Credit Quality


Given the extended time horizons to evaluate the implications of climate change, pricing long-term customer and supplier relationships correctly requires the use of suitable medium- and long-term scenarios that capture the capital investments needed to reduce polluting emissions, pay higher carbon taxes and mitigate the asset depreciation or damages caused by physical events, such as hurricanes and wildfires. Together, these factors can have a profound impact on customers’ and suppliers’ profitability and credit risk.


Read More

Climate Risk Webinars

Hear from our thought leaders on how risk management teams can manage climate risk
Featured Webinar
Looking Ahead: Next Generation Climate Risk Models
 

During this webinar learn more about:

 

  • The importance of best-in-class data and models in climate scenario analysis
  • Evolving customer behavior and financing opportunities
  • Effects of the changing geo-political and macroeconomic environment

 

Watch On-Demand Now

Assess impact of climate change on your credit risk portfolios

Via a highly dynamic, sector-specific approach, Climate Credit Analytics enables counterparty- and portfolio level analysis of climate-related financial and credit risks for thousands of public and private companies across multiple sectors globally.
Learn MoreOpens in a new window.