Commissioned by Mercer, ‘Investing in a Time of Climate Change – The Sequel’ presents the results of climate scenario analysis assessing the effects of climate related physical risks and the transition to a low-carbon economy.
The report looks at the consequences on the investment industry and what steps they should take to ensure the climate resilience of their portfolio assets.
Using macroeconomic model E3ME, three climate scenarios based on 2⁰C, 3⁰C and 4⁰C temperature increases were created to quantify the transition and physical risk impacts, and assess investment opportunities presented by a low-carbon transition.