Climate Scenarios & Sustainability| Ortec Finance

Climate scenario analysis designed for investment decision-making

Identify and understand how physical climate risks, low-carbon transition impacts and associated market pricing responses could systemically affect investment portfolios, financial markets and economies.

ClimateMAPS is Ortec Finance’s top down climate scenario analysis solution, developed in partnership with Cambridge Econometrics, that enables financial institutions to quantify climate change risks and identify opportunities, across all asset classes, macroeconomic variables and sectors.

Prepare for climate change. Translate plausible climate futures into quantified financial impacts.

Measure, monitor and manage multi-asset portfolio climate risk and opportunities

Manage portfolio-wide climate risks with our in-house Ortec Finance Climate Scenarios, that:

ClimateMAPS - comprehensive

Comprehensive
By translating climate risk and opportunities into all asset classes, macroeconomic variables, conventional and green benchmarks and regions and sectors

climatemaps-realistic

Realistic
By delivering a real-world assessment of systemic transition, physical and market pricing risks

ClimateMAPS - integrated

Integrated
By utilizing a range of advanced models to deliver results that can be integrated with traditional risk analysis and asset liability management (ALM) platforms

Improving portfolio resilience with Ortec Finance Climate Scenarios

Our proprietary climate scenarios, first developed in 2018 and updated annually enable investors to:

Obtain a realistic transition risk assessment that captures broader real-economy impacts - including differences in risks and opportunities across regions and sectors.
Evaluate physical risks including tipping points and non-linear escalating impacts, aligned with the IFOA’s recommended use of a logistic damage function
Gain a comprehensive climate risk view for multi-asset institutional portfolios covering detailed asset classes, benchmark and sector holdings
Capture impacts from insufficient pricing-in across the investment horizon - emerging gradually, through shocks, or sentiment shifts
Examine and compare deeper narratives, including methodology, scenario drivers, climate science as well as policy and regulatory developments.

This supports pension funds and insurers to undertake stress-testing, strategic asset allocations, investment strategy development and stakeholder engagement in addition to reporting, ISSB-aligned disclosures and peer benchmarking.

Using the same modeling framework, climate scenarios can also be customized to a financial institution’s views and assumptions as a bespoke climate scenario.

For reporting, disclosures and peer benchmarking purposes only, ClimateMAPS is also available with NGFS Phase V climate scenarios.

Learn more about the differences and how to choose the right scenarios to meet your investment objectives.

Utilizing Ortec Finance Climate Scenarios

Deliverables

ClimateMAPS - 20+ countries/regions

Analytics

Economic variables for 20+ countries/regions and 700+ financial variables across all asset classes, including green benchmarks

ClimateMAPS - 20+ sector specific impacts

Insights

30+ sector-specific impacts for equities and credit and geographical insights including heatmaps

ClimateMAPS - Comprehensive total portfolio analysis

Assessment

Comprehensive total portfolio analysis including dataset and detailed supplementary report

ClimateMAPS - breakdown transition, physical and market pricing

Breakdown

In-depth breakdown of transition, physical and market pricing climate risks

ClimateMAPS - interactive web based tool

Dashboard

Interactive web-based tool featuring dynamic charts, maps and videos and explanations for comparison, with ongoing support and training

Application

ClimateMAPS - understand financial impacts

Analysis

Understand the financial impacts and outcomes under a wide range of plausible climate change futures, both quantitatively and qualitatively

climatemaps-realistic

Stress-test

Perform a portfolio climate stress testing exercise and assess sovereign default and credit risk

ClimateMAPS - integrate climate change into investment beliefs capital strategic asset allocation

Strategy design

Integrate climate change into investment beliefs, capital and strategic asset allocation and selection and monitoring

ClimateMAPS - climate change from financial risk management perspective

Risk management

Assess and mitigate climate change from a financial risk management perspective

ClimateMAPS - climate related reporting disclosures

Reporting

Undertake stakeholder engagement and climate-related reporting and disclosures, meeting ISSB’s requirements to evaluate resilience

Translating the cost of climate change for pension funds and insurance companies worldwide

Our Climate Scenarios & Sustainability team undertake an annual analysis to assess how climate risk is affecting pension funds and insurance companies globally, using the latest release of our Ortec Finance Climate Scenarios

Pension funds Insurance companies

Previous reports - 2024

global climate report-mockup

Climate scenario analysis for financial institutions

ClimateMAPS can meet the climate risk management needs of diverse financial institutions.

Learn more about how our climate scenario analysis solution can help pension funds assess the implications of climate change for long-term portfolio resilience and the financial stability of pension beneficiaries, while enabling insurance companies to evaluate climate change’s impact on short-term liabilities, investment targets, and overall balance sheet resilience.

Climate for pensions
Pension funds

Climate risk analysis for insurance companies
Insurers

Understand total portfolio exposure across traditional investment and climate risks

ClimateMAPS - identify the impacts on asset class returns of optimized portfolios

Using ClimateMAPS to identify the impacts on asset class returns of optimized portfolios generated based on ALM studies against the same baseline determined in GLASS.

Support private asset investment decisions

Combine regional, sectoral, macroeconomic, and asset-class impacts to identify private asset opportunities and actively drive investment in the low-carbon transition from a total portfolio perspective.

Learn more

Our climate risk management insights

Generating useful financial insights with a credible climate scenario analysis.

Learn how you can gain a quantified financial understanding of how climate change may impact investments with climate scenario analysis

Unlocking the true value of climate scenarios.

Discover the differences between the various types of narrative-based climate scenarios

From climate risk analysis to investment decision making.

Understand how economic scenarios and narrative-based climate scenarios can be utilized together to incorporate climate risk into investment decision-making

Integrating economic and climate scenarios

Explore how the unique combination of Ortec Finance’s economic scenarios and narrative-based climate scenarios can help investors integrate climate

Webinars

Evaluating the pricing impacts of
climate risks

Watch our webinar to explore how our climate change affects asset performance and valuations.

2026 Ortec Finance Climate Scenarios

Watch our webinar to learn about the latest Ortec Finance Climate Scenarios - focusing on the relative likelihood and how the scenarios closest to the current climate trajectory could impact sovereign debt, private assets and insurability.

Utilizing NGFS climate scenarios for climate risk analysis