As the severity of climate change grows, the urgency for investors to address physical climate risks in their portfolios becomes more acute. Physical climate risks are on the increase as temperatures rise, precipitation patterns change (for example, droughts, flooding), ocean temperatures increase and sea levels rise. These risks have an impact on many of the investments in a pension fund portfolio. How can pension funds mitigate these risks?
The IIGCC has produced guidance for investors which sets out how to integrate the risks and opportunities presented by the physical impacts of climate change into their investment processes. The IIGCC urges pension funds to take these risks into account to meet their fiduciary duty and they articulate the steps an investor can take. Unfortunately, climate risks are not being adequately or materially factored into company valuations or long-term company strategies. What can pension funds do about this?
Danielle Boyd of the IIGCC will provide an overview of the guidance for investors and the steps pension funds can take to manage these risks. Marion Maloney of the Environment Agency Pension Fund will then share some of the work their pension fund has undertaken to mitigate physical climate risks across their portfolio.
A Q&A will follow, moderated by Karen Shackleton of Pensions for Purpose.
We will then move to breakout rooms of mixed stakeholders, led by our sponsors Invesco and Redington, to discuss the following questions:
In the usual way, we will then regroup and our sponsors will share insights from the breakout room discussions before Danielle Boyd and Marion Maloney wrap the session up.
The agenda for this online interactive discussion will be as follows:
Who is this event for?
Anyone involved in the governance or management of pension fund assets or other pools of assets, and climate experts. For example, trustees of corporate defined benefit and defined contribution pension plans, LGPS pensions managers and committee members, in-house pension teams, legal, actuarial and investment advisers, asset managers, other investment service providers and climate-research groups.
Please sign up for the event here. Delegates will be sent dial-in details after registering. If you are not already a member, you will be invited to register for the Paris Alignment Forum. Membership is free and you will receive regular updates about the respective Forums’ activities.
Danielle Boyd, Investor Practices Senior Programme Manager,
The Institutional Investors’ Group on Climate Change (IIGCC)
Marion Maloney, Head of Responsible Investment and Governance,
Environment Agency Pension Fund (EAPF)
Marion joined the EAPF as Policy Governance and Risk Manager in November 2018. Before that she was a contributing members’ representative on the Pensions Committee, alongside her day job as a senior adviser regulating industry. Marion has over 20 years’ experience in public policy at local, national and European level
The Paris Alignment Forum was established by Pensions for Purpose to help pension funds and other asset owners on their journey towards alignment with the goals of the Paris Agreement. We do this by sharing climate-related thought leadership written by our Influencer members (asset managers, consultants and lawyers), by running free training workshops for trustees and by engaging in industry-wide conversation through our quarterly all-stakeholder and asset-owner events. To join the Paris Alignment Forum please email Karen Shackleton.
Pensions for Purpose
Pensions for Purpose exists as a bridge between asset managers, pension funds and their professional advisers, to encourage the flow of capital towards impact investment. Our aim is to empower pension funds to seek positive impact opportunities and mitigate negative impact risks.
For more information, please email Charlotte O'Leary.
Please sign up for the event by clicking on the ‘Learn more here’ button below.