The investment giant Schroders, which manages $520bn of assets globally, has launched a new “dashboard” designed to help investors better understand complex climate-related investment risks and track the transition of industries to lower carbon business models.
The Climate Progress Dashboard is designed to help assess decarbonisation progress across 12 key metrics, including political action, public concern, climate finance, corporate planning, renewables deployment, and fossil fuel production.
Its launch was accompanied by a briefing paper which contains a series of stark warnings over the growing impact of climate change on investment returns and the tremendous threat to globally economic stability.
On average between 15 and 20% of company cash flows are at risk from climate impacts, according to the report.
The firm warned that these “disruptive impacts” will become a bigger influence on corporate valuations over the coming decades.