Agenda

Agenda

Identifying and Managing the Financial Risks of Climate Change: course agenda

Live virtual course | Agenda timing is in GMT/EST

Start: 2pm GMT / 9am EST
End: 4.15pm GMT/ 11.15am EST

14:0015:00

Climate change risk management

14:00 - 15:00

  • Overview of climate change risk
    • What does the science say?
    • What are the predicted impacts?
    • How does it translate to financial risk?
  • Different reactions
    • Society
    • Corporate businesses
    • Investment
  • Exposure to climate-related risks
    • Physical risks
    • Transition risks
  • Risks and opportunities of climate change risk
    • Carbon as an asset class

15:0015:15

Break

15:00 - 15:15

15:1516:15

Climate change risk: meeting emerging regulatory expectations

15:15 - 16:15

  • Background to regulatory initiatives – Paris Agreement and other frameworks
  • Overview on current regulatory standards (e.g. PRA, ECB, HKMA, etc)
  • Expectations for risk management
  • Role of NGFS and standard setters
  • Challenges and opportunities

14:0015:00

Disclosure, reporting and governance frameworks

14:00 - 15:00

  • Rising pressure for financial disclosure – why?
  • Strong ownership and oversight of the climate change risk management practices
  • Understanding the guiding principles TCFD
    • TCFD recommendations
  • Developing a comprehensive TCFD programme
  • Implementing recommendations and proposals:
    • Motivation
    • Practicality
    • Legality

15:0015:15

Break

15:00 - 15:15

15:1516:15

ESG and climate change risk

15:15 - 16:15

  • The E, the S, and the G- defining the concept and its aims
  • Approaching climate risk from an E,S and G standpoint
    • How does it differ for climate risk itself?
    • Current trends in the ESG market
  • Mitigating and adapting investment strategies to the effects of climate change
    • Building a portfolio that reflects the transition to a low-carbon (and climate-resilient) economy
    • Integrating carbon transition and physical climate risk
    • The challenge of materiality
  • Distinguishing the risks, challenges and opportunities associated with ESG
  • Analysing the long-term effects of climate risk

14:0015:00

Data management for climate change risk

14:00 - 15:00

  • Types of data required - financial vs non-financial data
  • Adjusting data collection processes to effectively evaluate climate change risks
  • Do you have enough internal data to include climate-related issues into your framework?
  • Leveraging additional data sources
  • Current industry challenges
Marek Piskorz

Chief operating & risk science office

Lloyds Banking

Marek leads climate scenario analysis and stress testing at Lloyds Banking Group building and embedding this activity across the Group and representing the Group in related industry working groups.

Marek is a risk and change professional with over 25 years leadership experience across a number of international financial institutions. He has worked across both first and second lines of defence having led corporate and financial institutions credit teams at different banks, developed first line risk teams, managed global counterparty risk change programmes and established a data management capability in the Commercial Banking division at Lloyds.

Marek has delivered risk management courses at prior employers both internally and externally. He is a Chartered Banker and is actively involved in green policy issues.

15:0015:15

Break

15:00 - 15:15

15:1516:15

Climate scenario analysis and stress testing

15:15 - 16:15

  • What is the difference between ‘normal’ stress testing and climate change risk stress testing?
    • the example of the Bank of England BES stress test
  • Overview of scenario analysis in the context of climate change risk
  • Benefits and challenges of conducting scenario analysis
  • Scenario analysis examples
Peter Plochan

EMEA principal risk specialist

SAS

FRM certified Risk Management specialist with strong analytical mindset and finance background. By combining my 10+ years of Risk Management experience with SAS Analytical and Risk & Finance Solutions I am uniquely positioned to provide the leading financial institutions with valuable advice for addressing their Risk & Finance management challenges.

My main Finance & Risk Management competency areas include:
- Finance and Risk Management technology;
- Risk regulations ( Basels /CRDs, ICAAP, ILAAP, Solvency II, ORSA);
- Accounting standards: IFRS 9 ;
- Enterprise Risk Management;
- Model Risk Management;
- Financial Risk Management and Asset Liability Management;
- Risk data / analytics;
- Planning, Forecasting, Stress Testing, Scenario analysis and Capital management.
- Risk and Finance integration

I am passionate about helping companies to improve their existing risk and finance processes, providing advice, educating and driving business development in the areas above.

14:0015:00

Climate change risk models and methodologies

14:00 - 15:00

  • How do you model climate change risk?
  • Utilising and assessing data
  • Understanding modelling methodologies
    • Temperature alignment
    • Pacta methodology
    • Climate change applied to credit risk
  • The issue of standardisation
  • Challenges in modelling climate change risk
Nick Stewart

Partner

Baringa Partners

James Belmont

Director

Baringa Partners

James is an accomplished financial services risk and treasury practitioner with over 20 years’ experience of building tools and processes, and using them to motivate balance sheet and risk profile changes.  He led Risk Analytics, Credit Portfolio Risk Management and Liquidity Modelling teams in a major UK bank, before joining Baringa Partners to lead their Risk Advisory practice.  James now works with a wide range of FS clients to support them in understanding and delivering strategic change to their risk management capabilities.  Bringing together Baringa’s Energy and FS capabilities, James has increasingly worked with UK banks and insurers to support them in building climate change risk management capabilities.

15:0015:15

Break

15:00 - 15:15

15:1516:15

Incorporating climate change risk strategies

15:15 - 16:15

  • Taking the modelling and implementing into the business
  • Embedding climate change risk management in enterprise risk management (ERM) frameworks
  • Adopting key risk indicators to monitor climate risks
    • Accepting that modelling is challenging, and outputs are be uncertain, can we still take meaningful action?
  • Supervisors’ expectations, shareholder expectations, customer expectations
  • Looking to the future – business risks and opportunities in the short, medium and long term
Russ Bowdrey

Senior ALM Manager and Climate Change Physical Risk Workstream Lead

UK Insurance Investment Actuary

Russ Bowdrey is a UK-qualified actuary and currently oversees and provides advice on strategic asset allocation for several business units and assists them with portfolio design and implementation, including evaluation of alternative investment opportunities. Alongside that Russ contributes regularly to ALCo and Board papers on capital allocation topics. Russ led the physical risk wokstream of a major multinational insurer climate change disclosures programme. Much of his time is now spent focusing on the impact of climate change on portfolios, and the wider businesses and works closely with experts across the business on integrating sustainability into the way the company invests.

Prior to this, Russ had taken a round-about route to an actuarial career via the Royal Air Force and a stint in aerospace engineering. He worked in both life and pensions teams at Ernst and Young, ran the investment risk and hedging programme at enhanced-annuity provider Just Retirement, before joining his current company in the Group ALM team. He holds a MSc in aerospace engineering from the Cranfield University – Royal Military College of Science.

Russ is a regular speaker at industry and professional events and recently chaired the organising committee of the IFoA Momentum conference for newly qualified actuaries.