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Climate Change: Issues for Securities Supervisors

Climate Change: Issues for Securities Supervisors

Year Published

2021

Contributing Organizations

International Monetary Fund (IMF)
Global Affairs Canada (GAC)
Toronto Centre
The Swedish International Development Cooperation Agency (Sida)

Type of Resource

Guidance
Research/Insights Report

Languages

English

Relevant Topics

Core Topic
Risk Management

Target Audience

All

Relevant Geography

Global
Climate Change: Issues for Securities Supervisors

Resource Description

This resource outlines how securities supervisors can address climate-related risks to financial stability, market integrity, and investor protection. It provides practical steps and frameworks to guide supervision of issuers, regulated firms, and green investing.

Why This Matters

Climate change is reshaping markets. Securities supervisors are key to ensuring transparent disclosures, credible risk management, and integrity in green investing.

Key Insights

  • Recommends supervisors require issuers to disclose material climate risks, using tools like TCFD
  • Advises regulated firms to assess climate-related impacts on operational resilience, asset valuation, and client services
  • Highlights risks of greenwashing and calls for oversight of climate-related claims in green investing
  • Emphasizes scenario analysis, board-level engagement, and alignment with other regulators
  • Supports use of taxonomies and disclosure frameworks to enhance market consistency

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