New guidance on Climate Related Disclosure and reporting
In this blog post, Paul Sutcliffe, Founder & Director, EVORA Global discusses the report published by Financial Stability Board’s Task Force on Climate Related Disclosure.
"On December 14th 2016 the Financial Stability Board’s Task Force on Climate Related Disclosure published its long-awaited recommendation report. The report sets out recommendations for helping businesses disclose climate-related financial risks and opportunities.
The report states that the impact that global warming can have on economies is widely recognised. However, at present, it is difficult for investors to know which companies are vulnerable to climate risks. It is recognised that without financial disclosure, the financial impacts of climate change may not be effectively priced. Pricing of risk is an essential function of financial markets. It it is increasingly important to also understand the governance and risk management context in which financial results are achieved..."