carbon-asset-risk-discussion-frameworkRVA Consulting (RVA) and Queen Mary University of London (Qmul) carbon footprint risk metrics Project (RVA Project) was quoted in the WRI and UNEP Finance Initiative report Carbon Asset Risk: Discussion Framework.  The RVA Project aims to help financial institutions to identify and understand climate-related risks to their portfolios.

World Research Insitute (WRI) comment the report in the pressrelease as:

The Carbon Asset Risk Discussion Framework is a resource for financial institutions and was developed by WRI and the UNEP Finance Initiative in consultation with more than 100 energy, climate and finance experts.

This report provides objective, fact-based guidance to finance professionals for evaluating their exposure to the non-physical risks of climate change, called carbon asset risk. This type of financial risk is driven by non-physical factors during the transition to the low-carbon economy: changing public policy and private sector regulation, rapidly evolving technologies, unpredictable economic markets, and shifting public opinion.

UNEP Finance Initiative (UNRP-FI) comment the report in the pressrelease as:

The transition to the low-carbon economy is of vital strategic relevance to financial intermediaries and investors across financial markets, both in terms of opportunities and risks. Whilst an unprecedented increase in private finance is required for investments to underpin the low-carbon economy, the transition also presents significant financial risks. These range from a reduced profitability of investee companies to full loan defaults from the stranding of assets. This UNEPFI / WRI report therefore establishes a framework that offers guidance to a range of financial institutions to systematically address the financial risks linked to carbon-intensive business models and assets.

Source: WRI – Publications