This article was originally published on EurActiv.com.
“Investors managing over €13 trillion in assets have called on EU regulators to foster a financial system that better takes climate risk into account when the European Commission reviews its Capital Markets Union next year.
The Institutional Investors Group on Climate Change (IIGCC), a powerful coalition of green investors and pension funds, has called on EU regulators to accelerate the transition to a low-carbon economy by profoundly reforming financial markets across Europe.
“IIGCC has continuously called for European leadership on climate change – something Europe rightly prides itself for. However, this leadership must be reinforced by enabling the financial system to fully support action against climate change,” the group said in a policy paper published on Tuesday (20 September).
“Financial regulation needs to enable and facilitate the changes occurring in the real economy,” it said, calling for an orderly transition to a low-carbon economy.
Exposure to climate-related disasters such as floods, storms, or sea-level rise can have a huge impact on the valuation of property and infrastructure, destroying assets and raising insurance rates overnight…”
Read on at: EurActiv.com.