This week investment powerhouse BlackRock – who manage $7 trillion of assets – set out a compelling case that climate change is a defining factor in companies’ long-term prospects – and their plan to tackle this by becoming a leader in sustainable investing. The world’s largest fund manager plans to divest from companies who get more […]
The Task Force on Climate-related Financial Disclosures (TCFD) has formed a new advisory group to help them assist companies with one of the more challenging elements of climate-related disclosure: scenario analysis. Previous TCFD status reports have noted how companies have found scenario analysis challenging. Companies often struggled to construct appropriate scenarios, to understand how their […]
The demand for climate-related financial disclosures has been growing. However, for climate risk and resilience to make it into the heart of financial decision making, there is still more to be done to ensure climate disclosures are comprehensive, high quality and useful to investors. Mark Carney, Governor of the Bank of England, speaking at the Task-Force for Climate-Related […]
Key co-ordinating body, the Corporate Reporting Dialogue, has reported that alignment between different ESG frameworks with the Task Force on Climate-related Financial Disclosures (TCFD) recommendations is better than expected. In order to offer more clarity on the relationships between different ESG reporting frameworks, the Better Alignment Project has brought a varied group of standard setters together to […]
Mark Carney, Governor of the Bank of England, recently gave a speech on sustainable finance at the United Nations Climate Action Summit highlighting the need for effective climate disclosure to build a sustainable financial system. Carney sees the initiatives and innovations of the private sector as key to underpinning the work of governmental climate policy, […]
The Task Force on Climate-related Financial Disclosures (TCFD) have published their second Status Report, analysing the extent to which companies have aligned their disclosures with the TCFD’s core recommendations. The Status Report has found an encouraging steady increase in the support for TCFD recommendations – with more than 800 organizations expressing support – and has […]
Global markets have, in theory, recognised the need for climate-related-risk reporting – but in practice, implementing effective disclosure practices can be a daunting task. More than 600 organisations have shown support for the Task Force on Climate Related Disclosure’s proposals; however, take-up has been slow, with a number of companies calling for more practical guidance. To […]
Amid growing momentum for disclosures in alignment with the Task Force on Climate-related Disclosures (TCFD) recommendations, Japans Ministry of Economy, Trade and Industry (METI), Financial Services Agency and Ministry of Environment are launching a Japanese TCFD Consortium, which will develop an effective implementation for the TCFD recommendations in that country. The TCFD Consortium offers a platform […]
The Bank of England (BoE) is leading by example and disclosing its own assessment of how it is managing climate-related financial risk in its 2019/20 annual report. The BoE have been pushing for stronger climate-change related risk disclosure with a number of actions in the last year, including a recent consultation on previous climate-related risk […]
On March 20 the Corporate Reporting Dialogue launched a six-week global consultation process to gather views from stakeholders on how to improve the alignment of sustainability frameworks.
As we’ve reported here before, a major setback in the admirable attempts to introduce more robust sustainability disclosure metrics is the existence of multiple competing frameworks. Without easily comparable data the impact of disclosure is highly variable.