NEW YORK, Jan. 22, 2020 /PRNewswire/ -- S&P Global
(NYSE: SPGI) unveiled today the "The Big Picture on Corporate
Climate Risk" at the Global Situation Space during the 2020
Annual Meeting of the World Economic Forum (WEF) in Davos.
For the third consecutive year, S&P Global presented its
latest data and insights through an interactive data wall as part
of the official Davos program. The
research examined the effects of climate change that pose important
transition and physical risks for companies and investors through
regulation, changing market dynamics, and technology, among other
factors.
This year's presentation incorporated data from the Climate
Change Physical Risk Analytics dataset from Trucost, part of
S&P Global, and from S&P Global Platts, a division of
S&P Global.
"The World Economic Forum at Davos provides an excellent platform to bring
climate issues to the forefront of discussions between global
leaders in business, politics and society, and we are proud to
complement those efforts with this year's presentation," said
Dr. Richard Mattison, CEO of
Trucost, part of S&P Global. "Our data shows that
heatwaves, wildfires, water stress, and hurricanes linked to rising
average global temperatures represent the biggest physical risks
for companies in the S&P 500. Furthermore, the location of
assets is the key factor in determining the extent of these risks,
outweighing the industry or sector in which a company
operates."
The findings revealed in S&P Global's presentation at
Davos show that companies in the
S&P 500 Index own physical assets across 68 countries globally,
while 60% of these entities (with a market capitalization of
$18 trillion) hold assets that are at
high risk of at least one type of climate-related physical event.
Some sectors face heightened risks. For example, real estate
investment trusts (REITs) included in the S&P 500 own
properties across the globe with significant concentrations in the
U.S., U.K., and Canada. Some of
these properties are exposed to risk of inundation due to sea level
rise, highlighting the need for effective planning and
flood-mitigation measures to preserve asset values.
Dr. Mattison added, "These types of findings play a vital role
in helping understand the financial risks associated with climate
change, and in turn enable the public and private sectors to work
in tandem, establish proper frameworks, and tackle the biggest
issue facing our generation."
The presentation also highlights S&P Global Platts analysis
that estimates adherence to historic trends would significantly
increase energy-combustion CO2 emissions, while Platts' most likely
scenario—taking into account expected policy action and
technological innovation—envisions emissions stabilizing after
around 2025. But this is still far above needed targets;
Platts' 2-degree scenario would require global demand for fossil
fuels to peak by 2025.
To see full coverage of S&P Global's presence at the WEF
Annual Meeting at Davos, visit
spglobal.com/davos2020. To learn more about S&P Global's data,
insights and initiatives on climate change, visit
spglobal.com/climaterisk.
About S&P Global
S&P Global is a leading provider of transparent and
independent ratings, benchmarks, analytics and data to the capital
and commodity markets worldwide. The Company's divisions include
S&P Global Ratings, S&P Global Market Intelligence, S&P
Dow Jones Indices and S&P Global Platts. S&P Global has
approximately 21,000 employees in 33 countries. For more
information visit www.spglobal.com.
Trucost, a part of S&P Global
Trucost is part of the S&P Global family, operated by
S&P Market Intelligence. Trucost assesses and prices risks
relating to climate change, natural resource constraints and
broader ESG factors. Companies and financial institutions use
Trucost intelligence to understand exposure to ESG factors, inform
resilience and identify the transformative solutions of tomorrow.
Trucost data also underpins ESG indices, including the S&P 500
Carbon Efficient Index® and -S&P/IFIC Carbon Efficient Index®.
For more information, visit www.trucost.com
View original content to download
multimedia:http://www.prnewswire.com/news-releases/sp-global-unveils-the-big-picture-on-corporate-climate-risk-at-wef-in-davos-300991506.html
SOURCE S&P Global