Looking Back on Climate Week

  • Rockefeller Asset Management Climate Week

Rolando Morillo co-portfolio manager of Rockefeller Asset Management’s climate and ocean strategies reflects on Climate Week.

Climate Week Recap

Since 2009, The Climate Group, a non-profit organization aimed at achieving a world of net zero carbon emissions by 2050, has hosted Climate Week. The event coincides with the annual United Nations General Assembly meeting at the UN headquarters in Manhattan. The largest event of its kind, 2023’s Climate Week included some 400 events and activities. As in the past, Rockefeller Asset Management was an active participant and hosted two special events.

Ocean Stewardship Coalition Workshop

The workshop convened government representatives, non-profits, pension funds, multi-lateral banks, multi-national banks, insurance companies, and asset managers to discuss ways to advance the Blue Finance Agenda.

Key Takeaways

  • Many of the financial institutions expressed the intention to partner with governments and multilateral organizations to invest in a variety of blue economy finance mechanisms aligned with impact goals.
  • Government representatives, financial institutions, and multilateral banks discussed policies and regulations, as well as public-private partnerships, that could support conservation pathways for economic development, such as debt for nature swaps.
  • There was agreement in having clear reporting frameworks and increased standardization to measure progress on impact, along with increased third-party independent validation.
  • European pension funds and other financial institution stated their intention to invest in blue finance solutions, but expressed the need for credible frameworks and clearer structures, along with enhanced liquidity.
  • Multilateral banks believe the broader market is not taking natural capital into consideration. In addition, better metrics are needed to value nature and biodiversity. The insurance industry participants highlighted the evolution of new models to understand and structure ocean risk that can adapt to climate change.

 

Planet Tracker Event

We again hosted the Planet Tracker event, where the non-profit organization discussed their work on plastics risk. They also moderated a panel made up of representatives from ClientEarth, The Ocean Foundation, and Rockefeller Asset Management.

Key Takeaways

  • Planet Tracker presented their most recent research on plastics and how four types of risk (physical risk, legal risk, reputational risk and transition risk) play into financial impacts on corporations, including cost of debt and equity risk premium.
  • ClientEarth shared their expertise on litigation to the panel, and discussed six types that could impact the plastics space: 1) greenwashing, 2) waste disposal and recycling, 3) plastic waste and the environment, 4) air permits (petrochemical related), 5) management of material financial risk and disclosure risk and 6) hazardous chemical and toxicity (microplastics, analogy to what has happened in PFAS). The conversation also touched on emerging regulatory risks, especially in the European Union.
  • Rockefeller Asset Management and The Ocean Foundation provided insights on their extensive experience in investing and engaging in the plastics space. Conversations centered around plastics risks and their role in the investment process, the differentiated approach of the Ocean Engagement Strategy and Rockefeller Asset Management’s focus on improvers, how Rockefeller Asset Management engages on plastics, and how companies are responding to existing and emerging risks on the topic.

 

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