Responsible Investor published an interview with Rémy Estran-Fraioli, CEO of Scientific Climate Ratings (SCR), highlighting the need for a systematic analysis of financial risks associated with climate change, and how SCR aims to break the mould when it comes to climate risk assessments for investors. In the interview, Rémy Estran-Fraioli outlined why traditional ESG ratings and climate “stress tests” fall…
Can a single rating truly capture the complex financial impact of climate risk across diverse scenarios, time horizons, and asset types? At Scientific Climate Ratings (SCR), an EDHEC Venture, we firmly believe that the variability of climate impact across sectors, geographies, and assets requires a more robust and academically grounded approach. Our objective is to move beyond mere exposure scores…
Climate scenario models often extend far into the future, typically to 2050 or even 2100, well beyond traditional financial planning horizons. As Mark Carney described in his now well-known speech, climate change presents a “tragedy of the horizon,” where short-term financial decision-making fails to account for long-term consequences. Climate risk is, therefore, highly uncertain, with widely varying outcomes. Most models…
From extreme weather to policy disruption, climate risks manifest in two distinct yet financially relevant forms: Physical and Transition. These risks are urgent and material, with significant financial impacts, especially for infrastructure projects with long investment horizons. At Scientific Climate Ratings (SCR), we assess both to provide a comprehensive view of climate-related exposure and quantify their financial impact. Below, we outline…
Reuters news agency has published an exclusive article introducing Scientific Climate Ratings (SCR), an EDHEC venture, highlighting its distinctive position as the first agency to estimate projected financial losses for thousands of infrastructure assets across multiple climate change scenarios. The article authored by Simon Jessop, Editor of Sustainable Finance at Reuters, addressed the growing need to understand the potential costs…
Scientific Climate Ratings (SCR), an EDHEC venture, featured in an article by International Financial Review (IFR) magazine, promoting the agency’s powerful feature assigning a precise dollar value to the impact of climate risk on infrastructure. SCR offers forward-looking ratings that quantify how transition risks (linked to the shift to a low carbon economy) and physical risks (floods, storms, heatwaves…
