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https://theconversation.com/climate-risk-is-changing-where-investors-put-their-money-even-as-nz-relaxes-disclosure-rules-282038>
"Across New Zealand and Australia, the impacts of a warming climate have been
slowly changing how investors weigh up risk and returns.
Both countries have been experiencing more extreme events such as floods and
bushfires, all while policy shifts and rising carbon prices increase pressure
on firms to adapt.
As these risks grow more visible, investors are increasingly interested less in
how well a fund has previously performed, and more in how likely it is to hold
up in an uncertain future.
In recent years, each country has also introduced regimes mandating large
companies and financial institutions to report how climate-related risks – from
physical impacts to changing regulations – could affect their business.
These requirements are now being scaled back in New Zealand, with the
government removing mandatory reporting obligations for more than half the 164
companies that have been subject to the rules.
By raising the threshold for inclusion in the regime from NZ$60 million to $1
billion in market capitalisation, only the very largest listed companies would
still have to report.
Yet a newly released report from Deloitte suggests those underlying pressures
justifying climate-risk disclosures have not gone away.
Investors, lenders and other stakeholders still expect clear information on how
companies are managing climate risk – regardless of whether reporting is
mandatory.
Furthermore, our research suggests these disclosures have been helping drive
change that goes well beyond making climate-related financial risks more
visible."
Cheers,
*** Xanni ***
--
mailto:xanni@xanadu.net Andrew Pam
http://xanadu.com.au/ Chief Scientist, Xanadu
https://glasswings.com.au/ Partner, Glass Wings
https://sericyb.com.au/ Manager, Serious Cybernetics
