Why? It may be requested by financial regulators and provides information to shareholders, clients and counterparties on the real-world contribution of the institution’s investments to climate objectives.
How? Institutions may complement their reporting on the volume or share of climate-related activities and investments with reporting on the impacts of these activities. Institutions may choose to report results of this measurement individually as part of their individual annual reports and/or within groups or initiatives of financial institutions. In the case of mandatory reporting, specific methodological requirements may be asked by the regulator.