Webinar Announcement: Analyzing Climate Risk Effects On Global Equity Valuations
Rebellion Research 01/06/2024
"Date: Tuesday, July 2nd, 2024
Time: 8pm SGT | 2pm CEST | 1pm BST | 8am EST
A highly anticipated webinar, “Assessing the Impact of Climate Risk on Global Equity Valuations,” is scheduled for Tuesday, July 2nd, 2024. This event will feature new research insights from the EDHEC-Risk Climate Impact Institute, in collaboration with Scientific Beta.
Event Details:
The webinar will delve into the inadequacies of traditional discounted cash flow models, which often overlook state dependence by using a uniform discount rate for all cash flows at a specific time. This approach falls short when valuing securities sensitive to climate risk, as demonstrated by the latest research from the EDHEC-Risk Climate Impact Institute.
Utilizing an advanced integrated climate-economics model, the research captures the uncertainties of the climate system, the effects of physical damages, and the impact of different discount rates under various emissions abatement policies. This comprehensive model provides a nuanced understanding of how climate risk can influence global equity valuations.
Key Insights:
- The impact of climate risk on equity markets is significantly affected by the speed of emissions reduction, the specific timing of climate tipping points, and the ability of Central Banks to mitigate economic downturns through rate adjustments.
- Even in scenarios without tipping points, failing to take action on emissions abatement can lead to a reduction in global equity valuations by over 40%.
Webinar Highlights:
- Limitations of current climate-aware valuation models
- Underestimation of physical risk impacts on equity valuations
- Importance of state-dependent discounting
- Key factors influencing the effect of climate change on global equity valuations
- Implications of the current emissions reduction trajectory on equity values
- The reliability of Central Banks’ interventions (‘Greenspan put’) for climate risk managements
- Investment management considerations in light of climate risks
Speakers:
Professor Riccardo Rebonato, Ph.D.
Scientific Director, EDHEC-Risk Climate Impact Institute
Moderator:
Felix Goltz, Ph.D.
Research Director, Scientific Beta
Participants can register for the webinar and will receive a recording of the session after the live event. For more information, please contact Maud Gauchon at +33 493 187 887 or [email protected]."
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Webinar Announcement: Analyzing Climate Risk Effects On Global Equity Valuations
About EDHEC
Operating from campuses in Lille, Nice, Paris, London and Singapore, EDHEC is one of the world’s top 15 business schools. Fully international and directly connected to the business world, EDHEC commands a strong reputation for research excellence and the ability to train entrepreneurs and managers capable of breaking new ground. EDHEC functions as a genuine laboratory of ideas and produces innovative solutions valued by businesses. The School’s teaching is inspired by its research work and a focus on “learning by doing”, all with the aim of equipping people with the skills to succeed in business.
