A Data-Driven, Transparent Approach to Climate Risk
The EDHEC ecosystem is committed to bridging academic finance and investment management. EDHEC’s Generation 2050 strategic plan focuses on 3 priorities: (i) rethinking business models to serve the common good, (ii) training stakeholders to transform organisations and (iii) accelerating climate finance. (learn more here)
As an EDHEC Venture, Scientific Climate Ratings' ambition is to ensure the highest academic standards for identifying and quantifying climate risk exposure and related financial materiality. Beyond compliance, we prioritise scientific rigor in our evidence-based methodology, providing reliable and actionable insights into the financial impacts of climate risks.
How ready are you for extreme weather?
Climate Disasters Are Costing Us More Than Ever
Infrastructure assets are inherently vulnerable to physical climate risks due to their fixed locations, capital- intensive nature, and long operational lifespans. Both acute events (like floods and wildfires) and chronic shifts (e.g., sea-level rise or prolonged heatwaves) can cause substantial damage – threatening asset integrity, disrupting operations, and ultimately eroding financial value. Our research shows that physical risks alone could significantly impair the value of the most exposed infrastructure portfolios.
The Price Tag for Investors Is Skyrocketing
By 2050, climate risks could cost infrastructure investors hundreds of billions of dollars:
Transition and Physical risks add further pressure, with mounting regulatory and policy shifts putting private asset values at additional risk.
Among the 6,050 assets assessed by Scientific Climate Ratings, 1,088 are projected to suffer losses of at least 24% by 2035, escalating to over 50% by 2050 if no action is taken.
Critically, assets with top-tier climate resilience ratings (A or B) account for just 2% of the total projected loss, while the bottom 20% (rated F and G) are responsible for nearly half.
The Bottom Line
Climate resilience is no longer optional — it’s a financial imperative.
Navigate Climate Risk with Confidence: Your Key Questions, Answered
If you have no idea how high your climate risk is because you simply do not know how to reliably understand and measure your exposure, Scientific Climate Ratings is your trusted partner and will help you develop informed decisions to effectively assess your climate risk vulnerability. Our ratings offer a comprehensive perspective, allowing the market to shift from concentrating on a single scenario to considering multiple scenario pathways when assessing financial loss.
In an increasingly globalised economy, risks are interconnected and it is becoming more and more difficult to value exposure of geographically distributed infrastructure assets.
Our precise granular data allows you to get a comprehensive systemic assessment of exposure and to factor in resilience measures at the asset level.