Climate-Related Financial Risk - Arguments, Analytics and Regulations

In the face of an ever-evolving climate landscape, Climate-Related Financial Risk - Arguments, Analytics and Regulations provides a critical resource for financial professionals aiming to understand and mitigate the profound implications of climate change on the financial industry. 
Esteemed authors Tony Hughes and Sergio Scandizzo take readers on a comprehensive journey which delves into the multifaceted aspects of climate-related financial risk. They offer a thorough analysis of current climate scenario and stress testing methodologies, of regulatory expectations and essential tools for effective risk management.
Their book provides guidance on what to look for in scenario-based stress test reports, enhancing financial practitioners’ ability to critically assess such documents. Each type of financial risk—credit, market, liquidity, and operational—is thoroughly examined in the context of climate change, with practical guidance on modelling and mitigation strategies.

Additionally, the authors consider the motivations and mandates of regulators and discuss current and future regulatory landscapes. They offer strategic recommendations for aligning financial institutions with evolving regulatory expectations and for building resilient financial systems.
Climate-Related Financial Risk - Arguments, Analytics and Regulations is indispensable for diverse financial professionals - including risk managers, analysts, regulators, and policymakers - who require the necessary knowledge and tools to safeguard their institutions against multifaceted climate change risks. This book is also highly relevant for academics and students specializing in finance, environmental economics, and sustainable development, providing them with a robust framework to understand the intersection of climate change and financial risk.
In an era where the financial sector faces mounting pressure to effectively incorporate climate risk management into decision-making processes, this book is timely, and an essential addition to the climate finance literature.