Difference between revisions of "Physical Risk"
From Open Risk Manual
Wiki admin (talk | contribs) (Created page with "== Definition == '''Physical Risks''' are typically defined as risks which arise from the physical effects of climate change and environmental degradation. They can be cate...") |
Wiki admin (talk | contribs) |
||
| Line 1: | Line 1: | ||
== Definition == | == Definition == | ||
| − | '''Physical Risks''' are typically defined as risks which arise from the physical effects of climate change and environmental degradation. | + | '''Physical Risks''' are typically defined as risks which arise from the physical effects of climate change and environmental degradation. <ref>EBA Report: On Management and Supervision of ESG Risks for Credit Instituions and Investment Firms, EBA/REP/2021/18</ref> |
They can be categorised either as acute - if they arise from climate and weather-related events and an acute destruction of the environment, or chronic - if they arise from progressive shifts in climate and weather patterns or a gradual loss of ecosystem services. | They can be categorised either as acute - if they arise from climate and weather-related events and an acute destruction of the environment, or chronic - if they arise from progressive shifts in climate and weather patterns or a gradual loss of ecosystem services. | ||
| Line 13: | Line 13: | ||
<references/> | <references/> | ||
| − | |||
| − | |||
| − | |||
[[Category:ESG Risk Management]] | [[Category:ESG Risk Management]] | ||
Revision as of 15:39, 11 August 2021
Definition
Physical Risks are typically defined as risks which arise from the physical effects of climate change and environmental degradation. [1]
They can be categorised either as acute - if they arise from climate and weather-related events and an acute destruction of the environment, or chronic - if they arise from progressive shifts in climate and weather patterns or a gradual loss of ecosystem services.
Examples
Issues and Challenges
The definitions of physical risks vary among international organisations, central banks, supervisors, policymakers and researchers
References
- ↑ EBA Report: On Management and Supervision of ESG Risks for Credit Instituions and Investment Firms, EBA/REP/2021/18
