Climate Risk Management: Three Approaches to Reducing Asset and Portfolio Climate Risk

Evaluating physical climate risks and scaling up resilience measures across a portfolio is a daunting task due to the complexity of climate impacts, diversity of asset types and designs, varying geographic exposures, and difficulties in determining the return on investment. However, factoring physical climate risk data and resilience measures into asset management plans and capital expenditure cycles is critical to protecting assets at scale, and multiple approaches have been developed to make this information an actionable part of operations. This session will explore several strategies developed for real estate developers, owners, and investment trusts that can be implemented across large, diverse portfolios, and include perspectives from risk assessment experts and real estate firms that have implemented these approaches.