This webinar introduces the climate-related financial disclosures online courses. The webinar also includes insights from the GARP Risk Institute.

1. September 19 | Tweet @CDSBGlobal
Launch of climate-related financial
disclosure e-learning courses.
Webinar will start soon.

2. September 19 | Tweet @CDSBGlobal
Gemma Clements, Project Manager, CDSB
Launch of climate-related financial
disclosure e-learning courses.
Jo Paisley, Co-President, GARP Risk Institute

3. September 19 | Tweet @CDSBGlobal
Board
Technical Working Group (examples)
To provide decision-useful environmental
information to markets via the mainstream
corporate report

4. September 19 | Tweet @CDSBGlobal
Climate-related financial disclosure e-learning courses 4
CDSB Framework
• 7 guiding principles
• 12 reporting requirements
• Fully aligned with the TCFD recommendations
• Complementary to existing reporting provisions
(CDP, GRI, SASB) and existing regulations
• Referenced in the EU NFRD guidance and stock
exchange guidance globally
For reporting environmental information, natural
capital and associated business impacts
cdsb.net/Framework

5. September 19 | Tweet @CDSBGlobal
5
TCFD recommendations
5
Overview
1. Voluntary
2. Report climate-related financial disclosures in
the annual financial filings (mainstream report)
3. Financial sector & high risk non-financial sectors
4. Transition risks & physical risks (and opportunities)
5. Scenario analysis & forward-looking information
6. Short-term, medium-term & long-term
7. Qualitative & quantitative disclosures
Governance
Strategy
Risk
Management
Metrics
and Targets
Climate-related financial disclosure e-learning courses

6. September 19 | Tweet @CDSBGlobal
A
Introduction
B
Climate-RelatedRisks,
Opportunities,and
FinancialImpacts
C
Recommendationsand
Guidance
D
Scenario Analysisand
Climate-RelatedIssues
E
KeyIssuesConsideredand
Areasfor Further Work
F
Conclusion
Appendices
Figure 12
Implementation Path (Illustrative)
More complete, consistent, and
comparable information for market
participants, increased transparency,
and appropriate pricing of climate-
related risks and opportunities
Final TCFD
Report Released
Companies already reporting under other frameworks implement the Task
Force’s recommendations. Others consider climate-related issues within
their businesses
Organizations begin to
disclose in financial filings
Greater adoption, further development of
information provided (e.g., metrics and
scenario analysis), and greater maturity in
using information
Five Year Time Frame
AdoptionVolume
Climate-related issues viewed as
mainstream business and investment
considerations by both users and
preparers
Broad understanding of the concentration of
carbon-related assets in the financial system and
the financial system’s exposure to climate-related
risks

7. September 19 | Tweet @CDSBGlobal
2019 Status Report
Climate-related financial disclosure e-learning courses 7
825
supporters globally,
with market capitalisation
of more than $9 trillion.

8. September 19 | Tweet @CDSBGlobal
Climate-related financial disclosure e-learning courses 8
Key Themes
Disclosure of climate-related
financial information has
increased since 2016, but is still
insufficient for investors.
More clarity is needed on the
potential financial impact of
climate-related issues on
companies.
Of companies using scenarios,
the majority do not disclose
information on the resilience of
their strategies.
Mainstreaming climate-
related issues requires the
involvement of multiple
functions.

9. September 19 | Tweet @CDSBGlobal
Increasing numbers of companies and investors recognize that climate related-risks
are also financial risks. Inaction in tackling climate change could cost companies
nearly $1.2 trillion over the next 15 years. The new e-learning courses on the TCFD
Knowledge Hub offer organizations an effective and convenient tool to further their
understanding of the financial impact of climate-related risks and help them take
steps to integrate such disclosures into their existing reporting processes.
Climate-related financial disclosure e-learning courses 9
— Mary Schapiro, Special Advisor to the TCFD Chair and
Vice Chair for Global Public Policy at Bloomberg LP
“
”

10. September 19 | Tweet @CDSBGlobal
Aims
Climate-related financial disclosure e-learning courses 10
Why do we need online courses?
Specific
courses for
specific topics
or audiences
TCFD second
status report –
not enough
disclosure
Understanding
of the reporting
landscape
remains
“confused”
Don’t leave
the
laggards
behind

11. September 19 | Tweet @CDSBGlobal
TCFD Knowledge Hub
Climate-related financial disclosure e-learning courses 11
www.tcfdhub.org
Resources
Contribute
Case studies
Break down of the
recommendations
Introduction to the TCFD
and scenario analysis

12. September 19 | Tweet @CDSBGlobal
Online courses
Climate-related financial disclosure e-learning courses 12
• Self paced
• Activities and quizzes
• Video interviews
• Examination
• Feedback
• Forum for discussion
• Certificate of completion

13. September 19 | Tweet @CDSBGlobal
Course 1
Learning objectives
• To explain the drivers for reporting climate change and environmental
information and build understanding of how it can be material to your
organisation.
• To provide definitions and explanations of key concepts in relation to
the reporting of climate-related information.
• To introduce the corporate reporting landscape – including regulations,
standards, frameworks and initiatives for reporting climate-related
information.
Climate-related financial disclosure e-learning courses 13
Introduction to climate-related disclosures - starting your climate journey

14. September 19 | Tweet @CDSBGlobal
Course 2
Climate-related financial disclosure e-learning courses 14
Understanding the recommendations of the TCFD
Learning objectives
• To introduce the four core elements (Governance, Strategy, Risk
Management, Metrics and Targets), key principles and the specific
eleven recommended disclosures of the TCFD.
• To consider the recommendations and how they can be used to
improve reporting process to produce consistent, comparable and
reliable climate-related information to enhance the efficient allocation
of capital within the financial market.

15. September 19 | Tweet @CDSBGlobal
Course 3
Climate-related financial disclosure e-learning courses 15
Embedding climate change into financial management - climate-related reporting
for accountants
Learning objectives
• To establish the role of accountants in identifying, measuring,
managing and presenting information on climate-related risk and
opportunities.
• Identify where existing accountancy practice (including financial
accounting standards), processes and expertise could be applied in
the context of climate change.

16. September 19 | Tweet @CDSBGlobal
Developed with insights from experts:
Climate-related financial disclosure e-learning courses 16
1. Introduction to climate-related disclosures – starting
your climate journey
2. Understanding the recommendations of the TCFD
• Aviva Investors
• Unilever
• Japan Stock Exchange
• GARP Risk Institute
• World Business Council for Sustainable
Development
• International Federation of Accountants
• Association of Chartered Certified Accountants
• Chartered Accountants Australia, New Zealand
• Institute of Chartered Accountants in England and
Wales
• Australian Accounting Standards Board
• Japan’s Financial Services Agency
• Deloitte
• KPMG
• CFA Institute
• Durham University

17. September 19 | Tweet @CDSBGlobal
Climate-related financial disclosure e-learning courses 17
Earn badges of
success
Select from the
library of courses

18. September 19 | Tweet @CDSBGlobal
Climate-related financial disclosure e-learning courses 18
Keep track of
completed tasks
Understand the
learning objectives
and outcomes

19. September 19 | Tweet @CDSBGlobal
Climate-related financial disclosure e-learning courses 19
Work your way
through the lessons
Complete the lessons
to receive a badge of
success

20. September 19 | Tweet @CDSBGlobal
Climate-related financial disclosure e-learning courses 20
Complete the quizzes
and watch the videos

21. September 19 | Tweet @CDSBGlobal
Climate-related financial disclosure e-learning courses 21
Pass the exam to
complete the
course and receive
a certificate

22. September 19 | Tweet @CDSBGlobal
What’s next?
Implementing the TCFD recommendations 22
Sign up to the
newsletter for
updates
• Register and enrol in the courses at
learn.tcfdhub.org
• New courses coming soon:
o Governance
o Risk management
o Water
o Biodiversity

23. Managing the Financial Risks
from Climate Change
Jo Paisley, Co-President
23

24. Climate Risk
24
‣ Climate risk used to be viewed as purely an ESG issue
‣ Now increasingly seen as posing financial risks
‣ Pressure coming from: regulators, disclosures (e.g. TCFD), investors
‣ Scenario analysis is seen as a key tool
‣ There’s a lot to do to embed in BAU risk management
‣ But it is highly uncertain

25. Regulatory Focus has Grown Over Past 5 Years
China
added
green
finance to
the G20
agenda
Paris
Agreement -
finance flows
needs to be
part of the
answer
Task Force on
Climate
Related
Disclosures
Report –
disclosures are
voluntary for
now
Network for
Greening the
Financial
System
created in
2017 – MAS
part of original
eight
members,
now up to 36
members and
6 observers
PRA is the
first regulator
to set out
formal
expectations:
PRA
Supervisory
Statement
SS3/19
25

26. GRI Survey on Climate Risk Management
‣ Is there board
governance?
‣ Have they seen
papers?
‣ Is anyone
senior
accountable?
Governance Strategy
Risk
management
Metrics,
Targets,
Limits
Scenario
Analysis
Disclosure
‣ Have you identified
climate-related
risks/opportunities?
‣ Have you done
any scenario
analysis?
‣ Regular or ad
hoc?
‣ Over what time
horizon?
‣ How have you
organised your
climate
resources?
‣ What have you
disclosed?
‣ Do you use
metrics, targets
and limits?
‣ What for?
‣ Are they
integrated in your
risk management?
Survey covered 27 firms: banks, asset managers, insurance and market infrastructure
$20 trillion assets, $12 trillion AUM
26

27. ‘Maturity Model’ of Climate Risk Management
0 100 200 300 400 500 600 700
Firm 27
Firm 26
Firm 25
Firm 24
Firm 23
Firm 22
Firm 21
Firm 20
Firm 19
Firm 18
Firm 17
Firm 16
Firm 15
Firm 14
Firm 13
Firm 12
Firm 11
Firm 10
Firm 9
Firm 8
Firm 7
Firm 6
Firm 5
Firm 4
Firm 3
Firm 2
Firm 1
Governance Strategy Disclosure Metrics Targets Limits Scenario analysis
27

28. Results Show a Wide Range of Practices
0 100 200 300 400 500 600
Firm 27
Firm 26
Firm 25
Firm 24
Firm 23
Firm 22
Firm 21
Firm 20
Firm 19
Firm 18
Firm 17
Firm 16
Firm 15
Firm 14
Firm 13
Firm 12
Firm 11
Firm 10
Firm 9
Firm 8
Firm 7
Firm 6
Firm 5
Firm 4
Firm 3
Firm 2
Firm 1
Governance Strategy Disclosure Metrics Targets Limits Scenario analysis
28

29. Key Insights
‣ Wide range of practices
‣ Many firms have board-level governance, and have considered strategic
climate-related risks and opportunities
‣ Metrics used for both operations and asset/liability management
‣ Targets used more for firms’ own operations; limits used for asset/liability
management
‣ Scenario analysis least well developed
‣ Better firms are more aware of the distance they need to travel
‣ Disclosures are also work in progress
29

30. ‣ Just over half of respondents
described their approach to climate-
related risks as ‘strategic’
‣ More than 95% of the firms aim
to have a strategic approach in the
future.
Approach to Climate Risk Management
‣ Responsible : approach driven primarily by corporate social responsibility (CSR), focusing on reputational risks
‣ Responsive : climate change is viewed as a financial risk, albeit from a relatively narrow, short-term perspective
‣ Strategic : more comprehensive approach, taking a long-term view of the financial risks, with board engagement
30

31. External Disclosures and TCFD Requirements
‣ Not all firms disclose all
the information that the
survey asked about
‣ Many firms are working
to meet the TCFD
standards in the future
31

32. Key Messages
‣ Firms needs to start taking climate risk seriously
‣ Their self-assessments don’t always connect with their maturity – less
advanced firms may not yet be aware of what they need to do.
‣ Board-level governance critical.
‣ A cross-disciplinary working group can help to bring everyone together.
‣ Scenario analysis least well developed.
‣ Just start!
32

33. GARP’s Climate Publications
• A Good Start But More Work To Do: a
survey showing financial firms’ uneven
progress in creating core climate risk
capabilities such as governance,
strategy and scenario analysis.
• Challenges and Opportunities: an
overview on climate change itself, the
evolving regulatory landscape, and
how climate risk can be embedded into
existing risk management
frameworks.
33

34. 34
garp.org
About GARP | The Global Association of Risk Professionals is a non-partisan, not-for-profit membership
organization. GARP offers risk certification – the Financial Risk Manager (FRM®) and Energy Risk
Professional (ERP®) – and educational programs for professionals at financial institutions, government
agencies, central banks, academia and corporations. Through the GARP Benchmarking Initiative and
GARP Risk Institute, GARP sponsors research in risk management and promotes collaboration among
practitioners, academics and regulators to promote a culture of risk awareness.
Founded in 1996, governed by a Board of Trustees, GARP is headquartered in Jersey City, NJ, with offices
in London, Washington, D.C. and Beijing.
Headquarters
111 Town Square Place
14th Floor
Jersey City, New Jersey
07310 USA
+1 201.719.7210
London
17 Devonshire Square
4th Floor
London, EC2M 4SQ
UK
+44 (0) 20.7397.9630
Washington D.C.
1001 19th Street North
#1200
Arlington, Virginia
22209 USA
+1 703.420.0920
Beijing
Unit 1010 Financial Street Centre
No 9A, Financial Street
Xicheng District
Beijing 100033 P.R. China
+86 (010) 5737.9835

35. September 19 | Tweet @CDSBGlobal
Q&A
Gemma Clements
Project Manager
gemma.clements@cdsb.net
Sign up to e-learning:
learn.tcfdhub.org
Visit TCFD Knowledge Hub
tcfdhub.org
Jo Paisley
Co-President
riskinstitute@garp.com