Use of scenarios for assessing climate-related financial risk and opportunity

Organizers: Seth Montieth (ClimateWorks), Chris Weber (WWF)


This session will present the latest research from practitioners and researchers as well as create a space for discussion on the missing elements and data gaps as they relate to assessing climate-related financial risk. The basic concept is that increased visibility, better access to data and analysis will better enable how climate-related financial risks are assessed and ultimately managed in the real economy, over shorter and longer temporal scales, in the context of socioeconomic development. Companies, investors, insurers, and regulators can evaluate risks as they relate to the transition away from emissions-intensive activities (transition risk) as well as exposure to a changing climate (physical risk). This requires a major translation exercise as scenarios including climate and development are turned into insights for investment portfolios, used as a basis for climate risk assessment frameworks, and used in the creation of benchmarks and targets for disclosures.
The proposed flow of this session will be for a panel of speakers (4-5) to briefly present (5-10 minutes) the latest development in this translation exercise and then open the conversation up to the room in order to discuss what opportunities might exist between the scientific and modeling community and financial practitioners.

Suggested anchor speakers:
•        Research scientist and modeler: Elmar Kriegler
•        Finance practitioner: TBD

We seek abstracts addressing the following Key Questions:
•        How are climate and development scenarios currently used to assess climate-related financial risk?
•        What data elements and insights from the scientific/modeling communities have proven most useful? What more is needed?
•        How have climate risk frameworks been adopted? How might this change?

•        Though the finance community is large, disperse and mixed in its approach to climate change, they are a new and important audience from climate scenarios. This session offers an opportunity for scientists and researchers to sit down with those practitioners most active in translating climate scenarios into use climate-related financial risk assessment.

Invited speakers:
Elmar Kriegler speaking for research community.
Practitioner speaker to be added