As part of our ClimateMAPS – climate scenario analysis solution, financial institutions have the option to customize and incorporate their views and assumptions to assess and quantify the impacts on returns across all macroeconomic variables and asset classes arising from climate change-related physical, transition and market pricing risks.
Client-specific bespoke scenarios are developed with our proprietary in-house climate scenario modeling framework, developed in partnership with Cambridge Econometrics, providing access to the E3ME macroeconometric model, our unique physical risk coverage and market-leading Economic Scenario Generator. They are utilized alongside our in-house Ortec Finance Climate Scenarios, either as an additional or substitute scenario.
Developing a bespoke climate scenario
Our team of climate and sustainable finance specialists will work with you to:
Understand your organization’s overall climate risk analysis objectives and provide guidance on how to investigate specific climate risks
Incorporate specific views and assumptions across a range of climate transition, physical and market pricing risk drivers
Translate this narrative into a plausible climate scenario, and quantify its impacts on returns across all macroeconomic variables and asset classes
Further insights
- Unlocking the true value of climate scenarios - Discover the differences between the various types of narrative-based climate scenarios; publicly available, alternative and bespoke.
- Constructing a plausible climate scenario - Learn about the three principles to enhance the plausibility of a deterministic narrative-based climate scenario.
- The fundamentals of climate scenario analysis for investors - Find out how climate scenario analysis can specifically help investors understand climate change's financial impact on investments.
About ClimateMAPS
ClimateMAPS is Ortec Finance’s top down climate scenario analysis solution, developed in partnership with Cambridge Econometrics, realistically quantifies a financial institution’s portfolio climate risks as well as opportunities, across all asset classes and macroeconomic variables. Its comprehensive asset class, macroeconomic and sector insights help financial institutions understand how climate change can impact returns and can be integrated with traditional risk analysis and asset liability management frameworks.
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