I link to John in the orginal post (tho on his Fed counter though similar). You can probably mitigate some of John’s and Hester’s (who I also link to) concerns, while still allowing for the data and disclosure part.
If you take the steel man version of those arguments the problem is that investors are not doing enough litigation. as
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I. Existing rules already cover material climate risks.
Existing rules require companies to disclose material risks regardless of the source or cause of the risk.
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They both argue that these disclosures are covered by existing regulation. I have some sympathy for this point, as it is meant to be covered. But often—in reality - it is not. Currently we rely on audit/maanager’s judgement that this is a material risk.
The only way to then get the disclosure would be to litigate and claim these are material risks.
The costs part of their argument seem to me to be overstated, but are a true trade-off.
I link to John in the orginal post (tho on his Fed counter though similar). You can probably mitigate some of John’s and Hester’s (who I also link to) concerns, while still allowing for the data and disclosure part.
If you take the steel man version of those arguments the problem is that investors are not doing enough litigation. as
″
″
They both argue that these disclosures are covered by existing regulation. I have some sympathy for this point, as it is meant to be covered. But often—in reality - it is not. Currently we rely on audit/maanager’s judgement that this is a material risk.
The only way to then get the disclosure would be to litigate and claim these are material risks.
The costs part of their argument seem to me to be overstated, but are a true trade-off.