Financial Institutions Lagging Behind Investor Expectations on Climate Risk and Net Zero Alignment
August 22, 2022 | Updated at August 22, 2022
Banks and other financial institutions are facing growing pressure from investors and regulators to offer details behind their Net Zero commitments. However, for many, there are analytical, data and other challenges that remain obstacles to demonstrating the short-, medium- and long-term paths to meeting their commitments.
Investor focus on climate risks to the financial sector is moving beyond the existence of a long-term Net Zero targetFinancial institutions are not yet equipped with sufficient methodologies to show that their alignments to Net Zero trajectories aren’t just reflecting ‘paper decarbonisation’Regulators and investors are zooming in on climate as a key risk so financial institutions that aren’t focu...