02 Jul 2019

Climatic Tipping Point – Why Investors Should Care

GEDB toghether with the United Nations’s Principles for Responsible Investment (PRI) published a case study report tackling the latest scientific work on the Earth’s climate tipping points and its potential impact on the global economy. Climatic tipping points are critical thresholds that determine how the Earth’s system functions and the Amazon rainforest is changing rapidly due to anthropogenic deforestation. This work has an aim to promote understanding among investors about land use change and its importance for the stability of the planetary climatic system. 

GEDB PRI report

Click here to download the report

The increased uncertainty and economic costs related to climatic tipping points with the Amazon rainforest as an example in this report, will have significant detrimental impacts on economies and societies globally. Awakening of the tipping points due to climate change and environmental degradation pose a systematic risk to investors’ portfolios. Therefore, institutional investors should be aware of the risks posed by climatic tipping points, especially when screening for climate-related risks in their portfolios. Institutional investors can tackle deforestation and prevent dangerous climatic tipping points by actively engaging the companies they invest in and which are operating in important ecosystems, such as Amazon.

This website uses cookiesfor statistics and user experience.

This website uses cookies to improve your user experience, to provide a basis for improvement and further development of the website and to be able to direct more relevant offers to you.

Feel free to read ours privacy policy. If you agree to our use, choose Accept all. If you want to change your choice afterwards, you will find that option at the bottom of the page.