The Unavoidable opportunity
Leading Financial Organizations Unveil Investor Toolkit for Climate Resilience Solutions
“The Unavoidable Opportunity: Investing in the Growing Market for Climate Resilience Solutions ” is released by the Global Adaptation and Resilience Investment Group (GARI) in partnership with MSCI Sustainability Institute, the Lightsmith Group, the Bezos Earth Fund, and ClimateWorks Foundation.
A group of leading financial and philanthropic organizations today released an investor report and toolkit highlighting climate resilience solutions as a key growth industry of the 21st century. “The Unavoidable Opportunity" presents a first-of-its-kind, AI-powered framework identifying a universe of over 800 publicly traded companies in the business of resilience along with methods investors can use to find these companies and incorporate climate resilience into investment product design.
The report is authored by GARI, a leader in climate finance, with data and analytics provided in partnership with the MSCI Sustainability Institute and The Lightsmith Group. It was released in conjunction with a new framework for Climate Resilience Investments in Solutions Principles (CRISP) developed by GARI to provide a comprehensive approach to identify relevant companies considering all regions, growth stages, asset classes and sectors.
Read the report here.
Read the CRISP framework here.
Top 5 Priorities for Resilience INvestment
GARI Working Group Lays Out Top Priorities for Resilience Investment
The State of Climate Adaptation and Resilience Investment: Where We Are, Current Investor Views, and Paths Forward sets out priorities for resilience investments in these key areas:
Top 5 Priorities
- Metrics and standards - Developing metrics and standards for risk management and opportunity assessment;
- Pricing - Pricing climate risk into investments as a key decision tool;
- Practical frameworks - Creating practical frameworks for resilience investment, looking long-term at desired outcomes and needs by key sectors such as food, transport, buildings, energy;
- Resilient net zero - Incorporating resilience into net-zero initiatives and goals; and
- Social impact - Focusing on social impact, environmental justice and inclusive equity in investments.
These priorities represent large, long-term paths forward that will require participation from all financial actors and climate resilience stakeholders. GARI will focus on these critical efforts in 2023 and beyond.
“Investors have an important role to play in helping to build resilience in the face of climate impacts and to incorporate climate risks in their investment decisions” notes Jay Koh, Chair and Founder of GARI and Managing Director of The Lightsmith Group. “
Read the full discussion paper here.
Read a summary of GARI plans to address these priorities here.
