ESG Risk Transmission Channel
From Open Risk Manual
Revision as of 14:33, 11 August 2021 by Wiki admin (talk | contribs) (Created page with "== Definition == '''ESG Risk Transmission Channel''' is causal link that enables adverse realizations ESG Factors to translate into ESG Risks.<ref>EBA Report: On Manag...")
Definition
ESG Risk Transmission Channel is causal link that enables adverse realizations ESG Factors to translate into ESG Risks.[1]
Examples
- Lower Profitability
- Lower Real Estate Valuations
- Lower Household Wealth
- Lower Asset Performance
- Increased Cost of Compliance
- Increased Legal Costs
References
- ↑ EBA Report: On Management and Supervision of ESG Risks for Credit Instituions and Investment Firms, EBA/REP/2021/18
