The latest Scientific Portfolio special issue of the Research for Institutional Money Management supplement examines several emerging challenges at the intersection of climate science and investment practice, with a focus on measurement integrity and methodological innovation.
Corporate decarbonization: An analysis of the ambition-credibility gap, assessing whether companies are delivering on stated emissions targets.
Equity return simulation: Introduction of a hybrid framework combining econometric techniques with generative neural networks to produce more realistic factor return scenarios.
Physical climate risk: Two regional studies (Europe and the U.S.) proposing a new approach to quantifying Climate Physical Loss (CPL).
Climate metrics and ethics: An exploration of the implicit ethical judgments embedded in climate alignment methodologies and their impact on measurement outcomes.
