Skip to content

The Climate Risk Landscape

The Climate Risk Landscape: Mapping Climate-related Financial Risk Assessment Methodologies provides a summary of the key developments across third party climate risk assessment providers since May 2019, including new and updated scenarios, methodological tools, key guidelines, as well as an overview of the changing regulatory landscape and potential developments into 2021.

Key points

The report opens with a chapter on the evolving landscape of climate disclosure since May 2019, taking a brief look at how new regulations and reporting guidelines have emerged, and the increasing regulatory push for climate stress-testing, as well as the development of portfolio temperature assessments.
The second and third chapters provide a broad overview of the landscape of scenario analysis methodologies for the estimation of transition and physical risks from climate change. The intention here is not to provide an endorsement of one methodology over another but to present some of the key strengths and differences in approaches.
The report concludes with an overview of advances in scenario development, a review of emerging trends and what financial institutions should look out for in 2021.