Climate Risk


Building Resiliency in Risk Management

New risks & new opportunities

As regulators ramp up on how to ensure the stability of the financial system from climate risks, banks need to start planning their strategies on managing these same risks. Having the proper data, processes, governance, policies, models and infrastructure in place will ensure that they not only measure and manage physical and transition risks, but also identify new business opportunities that will emerge as we head into a greener future.

How SAS can help

Top Resources

GARP: OnDemand Roundtable

Climate Risk: A Risk Leader’s Guide to Scenario Analysis and Stress Testing Roundtable from the 2021 GARP Virtual Risk Convention
 
 
 

Climate Risk: Scenario Analysis & Stress Testing

Learn in this demo: Assessing the impact of various NGFS climate scenarios on bank’s financial KPI & KRIs on portfolio / counterparty level Exploring the sensitivities to physical and transition risk drivers Attributing losses to climate scenario factors and modelling components

GARP: OnDemand Webinar

Modeling for Climate Risk Management – Challenges and Opportunities
As the requirements and expectations for managing the risk from climate change gets clearer, the financial industry seeks methodologies and execution details. In particular, stress testing/scenario analysis and risk models have taken center stage. In this session we explore some ways the industry is building and using models for climate risk, issues and challenges, how technology can help and how banks can use analytics to identify opportunities.  

Recommended Resources

REPRINT

Risk and Compliance Magazine

Mini-Roundtable: Creating Sustainable Infrastructure for Climate Risk Analytics. ...

ARTICLE

SAS article at Medium.com

From “New Normal” to “Better Normal”: 5 ways to create a smarter, greener future. As consultants and bankers, my industry colleagues tend to think of climate risk in terms of regulations, disclosures, models, stress testing, and dollars and cents. The global climate change crisis sometimes seems so detached from our everyday lives, as if it’s a problem can we leave at the office (or home office, as is the case for many of us today). ...

REPORT

Risk.net: Climate Risk (Special Report 2020)

A collection of articles from Risk.net. The impact of climate change on banks. SAS provides some key ideas for companies performing a self-assessment of their maturity in climate risk management.

PODCAST

GARP: Climate Risk

What COVID-19 can Teach Companies about Climate Risk. GARP has launched a podcast series featuring lively discussions with thought leaders and experts. ...

ARTICLE

GlobalBankingAndFinance.com

Feeling the heat: Banks eye climate change risk. Climate change risks are financial risks. Here’s why forward-thinking banks are incorporating climate change risk into their enterprise risk management frameworks – and why you should, too.
By Peter Plochan, Principal Risk Solutions Manager at SAS ...

ARTICLE

Risk.Net

A sea change – Driving awareness to confront climate risk. Amid a global push towards green policies, the reality of overhauling how industries worth trillions of dollars operate is causing concern. A forum of market participants and sponsors of this report discuss the levels of awareness of climate risk and its prevention at all levels, whether current regulatory targets are achievable and where the responsibility lies for gauging climate risk ...

INFOGRAPHIC

The risks of climate change: From coffee fields to banks

Climate change is a risk for everyone. See how damages to our environment are affecting people, businesses and economies around the world – and learn how a risk management approach can help you plan for and fight back against these effects.

BLOG

SAS Blog Post

The business risks of climate change: Where technology and nature meet
Many people love waking up to a mug of hot coffee every morning (medium cream and a bit of sugar, please). But how many have thought ahead to when that wake-up cup of coffee might be harder to come by? Predictions show that weather patterns tied to climate change are starting to damage Brazil’s coffee business. High temperatures and sporadic rains – which can spark fast-spreading fires – could wreak havoc on picky coffee crops that need precise levels of temperature, humidity and sunlight to thrive.

PODCAST

GARP: Climate Risk

What COVID-19 can Teach Companies about Climate Risk. GARP has launched a podcast series featuring lively discussions with thought leaders and experts. ...

ON-DEMAND WEBINAR

COVID to Climate Risk: Lessons in Building Resiliency in Risk Management.

Learn:

  • What short and long term changes can you expect to your credit risk management framework in dealing with climate risk?
  • What are some of the recent developments in regulatory guidance that will shape things to come?
  • What new analytical techniques or approaches are being applied?
  • How will reporting and disclosures need to change?
  • What are the most prudent process and technology capability roadmap for your organisation?

 

ARTICLE

Risk & Compliance Magazine

Summary: Climate Risk Mini-Roundtable with Naeem Siddiqi, Peter Plochan and Standard Chartered Bank.

BLOG POST

Climate change: It's all about the CO2

Global warming is here, in a big way, but its effects are still an arm's length away for many of us. How is climate change impacting you? Louisiana is losing a football field’s worth of land every 90 minutes to the ocean due to subsidence, erosion and rising sea levels ...

ARTICLE

Risk.Net

The impact of climate change on banks. Over the past few years, concern and public discussion around environmental damage and climate change – and their social impacts – have increased dramatically. Peter Plochan, principal risk management advisor at SAS, discusses some key ideas to allow companies to perform a self-assessment of their maturity in climate risk management.

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