Bloomberg has launched MARS Climate, a new solution that enables financial firms to quantify and manage climate-related risks and opportunities across their portfolios. The solution is part of the Multi-Asset Risk Management (MARS) suite and aims to help investors address regulatory demands to assess their exposure to climate risks. Climate change is having a significant impact on the economy, with natural disasters causing $280 billion in damages globally in 2023, according to Swiss Re. The MARS Climate module uses integrated assessment models and the Transition Risk Assessment Company Tool (TRACT) to analyze climate scenarios and project company revenue risk and opportunities. The solution provides a report assessing the financial impact of climate-related risk down to the security level, split out by physical acute, physical chronic, and transition risk. Bloomberg’s Global Head of Risk Product, Dharrini Bala Gadiyaram, said that the new solution will enable users to assess portfolio vulnerabilities and opportunities related to climate change.
Bloomberg Unveils Innovative Tool to Enable Investors to Quantify ESG Risks and Opportunities in Their Portfolios
