Portfolio Alignment
From Open Risk Manual
Definition
Portfolio Alignement is a mathematical measure of the proximity between the Climate Change related performance of a Portfolio, expressed for example through its Carbon Footprint and a temperature benchmark based on the temperature trajectory of a Climate Scenario consistent with the objectives of the Paris Agreement. [1]
References
- ↑ The Alignment Cookbook, A Technical Review of Methodologies Assessing a Portfolio’s Alignment with Low-Carbon Trajectories or Temperature Goal, Institute Luis Bachelier, 2020
