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Input: Responsible investment, inclusive of climate change factors, is part of the standard due diligence conducted on each investment considered. Oversight of the proprietary rating system is the responsibility of our Responsible Investment Committee, which includes senior investment team representation from each platform. In this section we will touch on how the Capital Dynamics R-EyeTM Rating System, overseen by the Responsible Investment Committee and the firm's overall responsible investment initiatives help shape how we address climate change. Symbol: Not Climate Event Input: In this document, section 4.3.1.3 (1) Financing and Investment Transactions Prohibited Regardless of Sector lists projects for which we prohibit any financing or investment. Sections 4.3.1.3 (2) Financing and Investment Transactions which Require Additional Due Diligence Regardless of Sector and 4.3.1.3 (3) Policies on Specific Industrial Sectors describe our practices for determining whether to engage in transactions with clients/projects in subject sectors, accounting for the degree to which the client has taken steps to avoid or mitigate risk and other due diligence as appropriate, based on the characteristics of the services we are providing. Symbol: Climate Event Input: We also invested in solar power generation with a £57 million long-term debt financing agreement to support Hermes Infrastructure, which provides solar photovoltaic systems for over 9,000 residential homes across the UK. This is a great example of how, across the group, we are seeking opportunities to address climate change and required energy transition. Symbol: Not Climate Event Input: Forests, which are home to 80% of Earth's biodiversity, are shrinking by 13 million hectares per year. More than 75% of the planet's land surface has already been altered in a more or less reversible way, leading to desertification, deforestation, pollution and salinisation. At the current rate, experts at the IPBES (Intergovernmental Platform on Biodiversity and Ecosystem Services) estimate that 95% of the planet's land may deteriorate by 2050, which could provoke massive population displacements. Symbol: Not Climate Event Input: Reinvestment in the business In 2019, CN spent approximately $3.9 billion in its capital program, with $1.6 billion invested to maintain the safety and integrity of the network, particularly track infrastructure. CN's capital spending also included $1.2 billion on strategic initiatives to increase capacity, enable growth and improve network resiliency, including line capacity upgrades and information technology initiatives, $0.9 billion on equipment capital expenditures, including the acquisition of 154 new high-horsepower locomotives and 560 new grain hopper cars, and $0.2 billion on implementation of Positive Train Control (PTC), the safety technology system mandated by the U.S. Congress. Symbol: Climate Event Input: CN invested $1.6 billion in basic track infrastructure in 2017 to improve the safety and fluidity of our network. The work included the replacement of more than 2.2 million cross ties and the installation of over 600 miles of new rail, as well as bridge repairs, branch line upgrades and other general track maintenance. In 2018, CN is targeting a record $3.2 billion in total capital investment, up Symbol: Climate Event Input: For our operated offshore fields and onshore plants in Norway our new climate ambitions includes reducing the absolute greenhouse gas emissions by 40% by 2030, 70% by 2040 and to near zero by 2050. By 2030 this implies annual cuts of more than 5 million tonnes, corresponding to around 10% of Norway’s total CO2 emissions. A 40% reduction by 2030 will be achieved through large industrial measures, including energy efficiency, digitalization and launch of several electrification projects. The 2030 ambition is expected to require investments of around USD 5.7 billion for Equinor and its partners. Symbol: Not Climate Event Input: We recognize that there is potentially a lot of uncertainty regarding how to quantify these impacts and that reasonable people can differ in their assessments. As our collective knowledge and understanding of these mechanisms evolve, it is possible that the quantification of these scenarios may also change. Symbol: Climate Event Input:  For asset management companies belonging to a Group (most of the tested sample), inadequate internal supervision of the services (relating to IT, cybersecurity and business continuity) performed by the parent company was identified. But the technical execution of these services by the Group cannot exempt asset management companies from their responsibilities regarding the definition (in priority) of the main risk areas and management of the relevant controls. Symbol:	Climate Event
Input: This includes: To adopt low-carbon measures in daily office operation, paperless office and the use of energy-saving lights across businesses to reduce carbon emissions and energy consumption directly; Encourage employees to participate in environmental protection activities and the use of renewable energy and new energy in architectural design and project retrofitting; Encourage all employees and our partners to contribute to carbon emission reduction and promote low-carbon ideas. Symbol: Not Climate Event Input: These exercises highlight that not enough data are available for a bottom-up approach, assessing the vulnerabilities specific to Group clients and incorporating their response and remediation functions on a forward-looking basis. Symbol: Climate Event Input: Since 2016 we have also been working with the Australian Bureau of Meteorology (BOM), using their mapping to identify parts of Australia with low rainfall and those areas more likely to experience rainfall variation. (Fig 1 - Rainfall Annual 30-year average (1986-2015)). When customers purchase properties in these areas, we test their financial resilience to climatic events like rainfall variation and drought. Customers with lower resilience may be subject to enhanced underwriting standards, for example, loan approval may be dependent on a lower loan to valuation ratio, higher repayments, or evidence of savings or equity. Our bankers also need to document the customer's knowledge of recent rainfall and climate trends where their farm is located and, if relevant, how they manage water budgets for irrigation. Symbol: Not Climate Event Input: As a manufacturer, Konica Minolta engages in various operations that impact the environment. For instance, it generates CO2 emissions, which contribute to climate change because of the use of materials derived from petroleum, which is a dwindling natural resource, and this affects ecosystems in various ways. • CSR reports, environmental reports, and websites • Community briefings and explanatory meetings • Collaboration with research institutions Symbol: Not Climate Event Input: Regulatory compliance can divert management attention and increase capacity needed to make changes to comply, thereby reducing the aptitude to pursue strategic objectives. It often tends to increase the size of risk, compliance and assurance functions which monitor, maintain and report on compliance. Regulatory compliance can introduce complexity and inefficiencies into ordinary business processes, which drive up cost and impact customers who do not always appreciate the value of regulations. Symbol: Climate Event Input: In April 2020, we announced our A$20 million Community Support Fund which is supporting our host communities with the challenges associated with the COVID-19 pandemic. Since launching the Fund, a number of health, livelihood and economic recovery initiatives have been funded such as a partnership with the University of Queensland to support COVID-19 vaccine research, a contribution to the cost of new lost-cost ventilators and partnering with international organisations to deliver medical supplies, equipment, infrastructure and services in Papua New Guinea. Symbol: Climate Event Input: Water stress Household water scarcity caused by climate change is another physical risk, which is exacerbated by population growth and urbanisation. During periods of drought consumers may reduce their use of certain products including laundry detergents, shampoos and conditioners, and toilet cleaners as they are unable to access water to use them or experience declining water quality which limits their enjoyment and/or efficacy. While the overall impact of water stress on our sales, from both policy and physical impacts, was not found to be significant in our scenario analysis at a global level within the 2030 time horizon evaluated, the impacts we see in the short term tend to be more local. Symbol: Not Climate Event Input: Should there be any local special conditions that are not sufficiently addressed by the group or parent strategy, the AI should either raise them with the group or parent for a possible solution or address them locally. In this regard, communication channels should be in place to facilitate the process. Symbol: Climate Event Input: There is also increased focus, including by governmental and non-governmental organizations, investors, customers and consumers on these and other environmental sustainability matters, including deforestation, land use, climate impact and recyclability or recoverability of packaging, including plastic. Our reputation can be damaged if we or others in our industry do not act, or are perceived not to act, responsibly with respect to our impact on the environment. Symbol:	Not Climate Event
Input: The Trustees believe that while these factors are sources of risks to be mitigated where possible, they may also create opportunities. The Trustees have therefore allocated a portion of the DB Fund's assets (a 2.5% commitment) to specifically targeting opportunities created by ESG risk factors including climate change. Examples of these opportunities include companies involved in the generation of renewable energy, and the manufacture of zero-emission electric commuter buses. Symbol: Not Climate Event Input: The common goal set by the Paris Climate Agreement is to limit the rise in global average temperature to less than 2°C by the end of the century. Following this trajectory, VINCI aims to reach the target of carbon neutrality (i.e. net zero emissions) by 2050 in its direct scope of business activities. As such, the Group is engaged in a proactive approach to achieve a 40% reduction in Scope 1 and 2 GHG emissions by 2030 compared with 2018 levels (see page 228). That comes out to a decrease of 940,000 tonnes of CO₂ equivalent relative to the scope of business activities in 2018. As an absolute value, this target will be updated in line with any significant changes to the Group’s scope, such as acquisitions. Symbol: Not Climate Event Input: The initiative has four working groups; government bonds, listed equities and corpo- rate bonds real estate and strategic asset alloca- tion. Representatives from AP2 participate in the steering group and in the working groups for government bonds and real estate. Symbol: Climate Event Input: Identifying, quantifying and managing risk is complex and challenging. Although it is our policy and practice to identify and, where appropriate and practical, actively manage such risks to support objectives in managing capital and future financial security and flexibility, our policies and procedures may not adequately identify, monitor and quantify all risks. Symbol: Climate Event Input: BBVA believes that greater financial inclusion has a favorable impact on the welfare and sustained economic growth of countries. The fight against financial exclusion is therefore consistent with BBVA's ethical and social commitment, as well as its medium-term and long-term business objectives. At the end of 2019, BBVA had 10 million customers in this segment. Symbol: Climate Event Input: Philips’ supply chain is exposed to fluctuations in energy and raw material prices. Commodities such as oil are subject to volatile markets and significant price increases from time to time. If Philips is not able to compensate for, or pass on, its increased costs to customers, such price increases could have an adverse impact on its financial condition and operating results. Symbol: Not Climate Event Input: In 2020, the EBRD signed a US$ 100 million project to finance Louis Dreyfus Company's (LDC) subsidiaries operating in Bulgaria, Egypt, Kazakhstan, Poland, Romania, Tajikistan, Turkey and Ukraine. The transaction will finance working capital needs for the trading activities of LDC's subsidiaries in these countries. Symbol: Climate Event Input: Regarding the socio-environmental risk analysis, the scope of Business and Corporate Banking is maintained, reducing the amount required for the evaluation of environmental and social risk, for operations over US $ 2,300,000 and emphasizing the sectors: (i) Mining; (ii) Energy; (iii) Tanneries; (iv) Cement; (v) Hydrocarbons and Gas; (vi) Iron and steel; (vii) Chemicals and Agrochemicals; (viii) African Palm. In the same way, these sectors apply to financial operations of SME Banking and Leasing products. Symbol: Not Climate Event Input: 8.2.12. As part of its approach to Responsible Investment, the Trustee considers a range of ESG risks, including corporate governance, human rights, bribery and corruption as well as labour and environmental standards. Of the environmental and social issues that we consider, we believe that climate change presents a material financial risk to the assets held in our portfolios. signed the Global Investor Statements to Governments on Climate Change. Symbol:	Not Climate Event
Input: Zurich could be exposed to transition risks if it fails to manage changing market conditions and customer needs as part of the transition to a low-carbon economy, resulting in asset impairment, opportunity cost and lost market share. In a transition scenario, industries unable to de-carbonize could experience declining profitability and lack of re-financing, which could lead to a lack of maintenance with increasing rates of outages and equipment break-downs that translate into higher insurance losses. Failure to manage transition risk could also lead to reputational impacts, both internal and external, resulting from a failure to deliver on publicly stated commitments. Although not considered material in the near-term, the increasing frequency of climate-related legal action suggests climate-related litigation could represent a significant potential risk in the long term. Symbol: Not Climate Event Input: Paper and waste: the BBVAsinplastico project (https://www.bbva.com/es/el-plastico- una-especie-en-extincion-en-bbva/) was launched with the aim of eliminating most single-use plastics in corporate headquarters, replaced by biodegradable materials. Plastic bottles from catering services were also replaced with purified water sources and digital soft drink stations in several buildings in Spain. These measures help reduce the use of more than 500,000 plastic bottles per year11. Symbol: Not Climate Event Input: Environmental, Social, and Governance Evaluation In April 2019, Ratings launched a comprehensive Environmental, Social, and Governance Evaluation that enables companies to measure their long term preparedness to manage Environmental, Social, and Governance exposure and opportunities. The Environmental, Social, and Governance Evaluation combines quantitative and qualitative analysis and considers both near-term and longer-term Environmental, Social, and Governance risks and risk mitigants for the subject company/entity. Our criteria for evaluating Environmental, Social, and Governance risks will vary by issuer type depending on the issuer's sensitivities; corporate analysis considers risks in the context of the company's business risk profile, financial risk profile, and management and governance assessment; sovereign analysis considers an assessment of institutional quality and governance effectiveness, while U.S. public finance analysis will typically consider Environmental, Social, and Governance factors in the context of management effectiveness and planning. In addition, Ratings has also added Environmental, Social, and Governance sections to its credit ratings reports on corporate entities, increasing transparency into how it incorporates Environmental, Social, and Governance factors. Symbol: Not Climate Event Input: Validation We established a common understanding between Toyota Motor Corporation (TMC) and all regions at the global meetings also based on the analyses conducted by overseas affiliates. We also engaged in dialogue with international organizations to validate the issues identified from perspectives outside of the company. The matrix was confirmed by relevant executives. Symbol: Climate Event Input: In 2019, Environmental financing grew by 45% year on year to a total of $7.8bn. We have seen good growth across our product set in our consumer and wholesale businesses. However, the majority of our current green financing is within the Corporate and Investment Bank. As there is still no industry- wide definition for 'green' finance, we are conservative and transparent in our assumptions, and report our share of capital market transactions where we have played an active role, not the total deal value of transactions that may have multiple banks involved. Symbol: Not Climate Event Input: Based on these market developments, we continue to focus on policy and legal risks, as well as technology risks, as we mainly expect changes within these two dimensions to potentially impact asset values. In this way, we aim to capture those industries and groups of companies that are most exposed to these risks and may therefore require adjustments in the near to medium term. Symbol: Climate Event Input: An additional advantage of these programs is increased pilot diversity, something the industry currently lacks (see 'Case Study: JetBlue Foundation'). Across all of our above mentioned programs, 7% of pilots are women, almost double the national average for airline transport. In Gateway Select, 20% of the pilots in our program are from underrepresented groups, about five times the national average. Symbol: Climate Event Input: Our offerings are designed to meet the specific needs of IFC clients in different industries — with a special focus on infrastructure, manufacturing, agribusiness, services, and financial markets. In FY18, we made $11.6 billion in long-term investments in 366 projects. In addition, we mobilized nearly $11.7 billion to support the private sector in developing countries. Symbol: Climate Event Input: CORPORATE AND HOUSEHOLD DEBT 25 carried out a benchmark study of the banks’ calculated risk weights for exposures to commercial real estate. The results of the two analyses showed that there is a risk that the capital banks have earmarked for lending to commercial real estate will not sufficiently compensate for the credit losses that could arise following a severe financial stress. It is against this background that FI proposes higher capital requirements for lending to commercial real estate (see “Stability in the banking sector”). Symbol:	Climate Event
Input: It is also used to identify what are known as emerging risks, in other words risks which could potentially have an adverse impact on the Group’s future performance, although their result and horizontal time frame are uncertain and difficult to predict (for further details see section ‘Emerging risks’ from chapter C. Background and upcoming challenges). Symbol: Climate Event Input: We also assess risks on the basis of their potential impact on the value of our franchise, which is supported by our reputation, brand and good customer relationships. Conduct and operational risks, such as cyber security breaches, data loss and IT systems failure, in particular have the potential to significantly impact our franchise value. Symbol: Climate Event Input: Safety and operational risks Process safety, personal safety, and environmental risks – exposure to a wide range of health, safety, security and environmental risks could cause harm to people, the environment and our assets and result in regulatory action, legal liability, business interruption, increased costs, damage to our reputation and potentially denial of our licence to operate. Symbol: Not Climate Event Input: Except as required by law, the Bank does not undertake to update any forward-looking statements, whether written or oral, that may be made from time to time, by it or on its behalf. Symbol: Climate Event Input: Scope 1 emissions come mostly from refrigerant leaks and to a lesser extent from stationary combustion in furnaces. Our Scope 3 emissions result primarily from the production of goods for sale, transportation of products, and waste generated in our operations. We use the GHG Protocol’s Corporate Value Chain methodology (Scope 3) to determine our reporting category. Symbol: Not Climate Event Input: The Finnish Meteorological Institute (FMI) has issued a report helping UPM to predict the future physical long-term impacts of climate change on its business in Finland, Uruguay, Southern Germany and Eastern China. The Institute incorporated three alternative emission scenarios in the report. The biggest risks in the company's business are related to more frequent and severe extreme weather conditions such as heavy rainfall, storms and drought. Symbol: Not Climate Event Input: In line with this action plan, in 2014 we set the target of “achieving a five-fold increase in value created in terms of climate change countermeasures through the provision of NEC products and services compared to the CO2 emissions from NEC’s supply chain,” and proceeded to carry out initiatives. During fiscal 2019, the value was six times, with a contribution of 33.58 megatons for an mitigation, targeting a reduction of 23 megatons by fiscal 2021, expanding to 50 megatons by fiscal 2031. Moreover, we will reduce CO2 emissions from our own business operations by improving efficiency and shifting to renewable energy. environmental load of 5.62 megatons, representing a significant improvement from 3.5 times in fiscal 2018. This reflects a stronger approach to our suppliers and an increase in provision of disaster measure-related solutions by domestic subsidiaries. Symbol: Not Climate Event Input: If we are unable to attract and retain qualified personnel or fail to maintain our company culture, our business could be harmed. We compete against other major U.S. airlines for pilots, mechanics, and other skilled labor; some of them offer wage and benefit packages exceeding ours. As more pilots in the industry approach mandatory retirement age, the U.S. airline industry may be affected by a pilot shortage. We may be required to increase wages and/or benefits in order to attract and retain qualified personnel or risk considerable crewmember turnover. If we are unable to hire, train, and retain qualified crewmembers, our business could be harmed and we may be unable to implement our growth plans. Symbol: Climate Event Input: Business as usual, with very limited regulation beyond that existing in 2018. Severe physical climate change impacts build from 2020. This means that consumption increases until 2025 and then starts a gradual but significant decline as systems collapse, supply routes are disrupted and health and safety issues take precedence over discretionary items. Symbol:	Not Climate Event
Input: Under the Strategic Plan 2018-2022, the company continues to optimise the businesses through additional efciency measures, with the commitment to cut annual operating expenses by Euros 500 million in 2022. These efciencies are focused on an analysis of the company's non-core activities and on the assignment of operational functions within each of the business units, all supported by the ongoing digitalisation processes. Symbol: Climate Event Input: First microfinance deal in Bulgaria We carried out our first commitment to microfinance in Bulgaria, by guaranteeing up to EUR 700,000 of a EUR 5.1m microcredit portfolio for the JOBS Microfinance Institution. The estimated 320 loans will have a particular emphasis on enterprises created by young entrepreneurs, women, artisans and small-scale farmers. Symbol: Climate Event Input: IFC expands the availability of such technologies by channeling investments toward private companies that build modern communications infrastructure and information-technology businesses. In FY18, we invested $376 million in initiatives related to technology, including funds mobilized from other investors — expanding our portfolio in this sector to more than $2.4 billion. Symbol: Climate Event Input: We have been investing our £200 million corporate ‘green’ loan in ongoing energy security and carbon reduction initiatives such as installing solar panels on our roofs, switching to natural refrigerants and generating green gas using combined heat and power (CHP) plants. We have also partnered with General Electric to install LED lighting in our stores, reducing our lighting energy consumption by around 58 per cent for the stores included in the rollout – a three per cent annual reduction in carbon emissions once the programme is completed. Currently, 17 per cent of our electricity comes from on-site renewables generation and renewable power purchase agreements. Symbol: Not Climate Event Input: We also invested €4.3 million in energy efficiency projects which reduced energy consumption by 300 million MJ. Projects that contributed to this achievement include cooling improvements in eight countries, improvements in lighting efficiency in 12 countries, electrical power optimisation in three countries and heat recovery from ground water in Hungary. Air and steam leakage prevention programmes were also implemented at all 66 of our production sites during the year. Symbol: Not Climate Event Input: – The Badgingarra Wind Farm is a 130MW wind farm, to be built at an estimated cost of $315 million, on the site adjacent to the existing Emu Downs Wind Farm (final condition precedent expected to be met in August 2017). Alinta Energy has entered into a 12-year offtake agreement for both the energy and the LGCs, commencing January 2019. Symbol: Not Climate Event Input: Back the growth of climate change solutions • Increased lending to climate change solutions, taking total committed exposure to $9.3 billion, progressing towards our 2020 target of $10 billion; • Facilitated $3.6 billion in funding for climate change solutions, exceeding our 2020 target of $3 billion; and • Analysed climate change risks under 1.5, 2 and 4-degree scenarios. Symbol: Not Climate Event Input: If we are unable to attract and retain qualified personnel or fail to maintain our company culture, our business could be harmed. We compete against other major U.S. airlines for pilots, mechanics, and other skilled labor; some of them offer wage and benefit packages exceeding ours. As more pilots in the industry approach mandatory retirement age, the U.S. airline industry may be affected by a pilot shortage. We may be required to increase wages and/or benefits in order to attract and retain qualified personnel or risk considerable crewmember turnover. If we are unable to hire, train, and retain qualified crewmembers, our business could be harmed and we may be unable to implement our growth plans. Symbol: Climate Event Input: The Group faces many other risks which, although important and subject to regular review, have been assessed as less significant and are not listed here. These include, for example, natural catastrophe and business interruption risks and certain financial risks. A summary of financial risks and their management is provided on page 25. Symbol:	Not Climate Event
Input: In 2020, the EBRD signed a US$ 100 million project to finance Louis Dreyfus Company's (LDC) subsidiaries operating in Bulgaria, Egypt, Kazakhstan, Poland, Romania, Tajikistan, Turkey and Ukraine. The transaction will finance working capital needs for the trading activities of LDC's subsidiaries in these countries. Symbol: Climate Event Input: We also invested in solar power generation with a £57 million long-term debt financing agreement to support Hermes Infrastructure, which provides solar photovoltaic systems for over 9,000 residential homes across the UK. This is a great example of how, across the group, we are seeking opportunities to address climate change and required energy transition. Symbol: Not Climate Event Input: MELBOURNE BACKS BTR In June 2019, we entered into an agreement with developer PDG to deliver 490 purpose-built, BTR apartments as part of the $450 million Munro development in Melbourne’s CBD. The Munro development is a key project within the City of Melbourne’s $250 million renewal of the Queen Victoria Market precinct. Symbol: Climate Event Input: The future of heat is uncertain, and its decarbonisation is reliant on relatively nascent technologies, such as hydrogen and carbon capture usage and storage, as well as biogas and heat pumps. These new and evolving technologies will need to be used in new contexts and on a scale that has not yet been demonstrated. We do not believe that any of these technologies can, in the next 30 years, reach sufficient scale to represent an existential threat to our gas businesses. Symbol: Not Climate Event Input: Compliance Risk Management Compliance risk (a type of operational risk) is the risk resulting from the failure to comply with laws (legislation, regulations and rules) and regulatory guidance, and the failure to appropriately address associated impacts, including to customers. Compliance risk encompasses violations of applicable internal policies, program requirements, procedures, and standards related to ethical principles applicable to the banking industry. Symbol: Climate Event Input: For our stakeholders: for customers, breaches in security may cause personal loss (both financial and emotional). There may also be consequences for relations with suppliers and intermediaries. For investors, any loss of business or reputation could result in lower returns. PSD2 will increase consumers’ control over financial data, but also their responsibility for this data. Symbol: Climate Event Input: The ERMC is supported by multiple committees, including the Corporate Responsibility & Reputation Committee (CRRC), Corporate Credit, Operational Risk, Management Compliance, and Asset/Liability. The CRRC is responsible for providing oversight and review of policies, programs, practices, and strategies that refect the company's core values and impact our reputation. It is also responsible for overseeing the identifcation and mitigation of top reputation risk issues and negative public perceptions. The CRRC charter explicitly includes environmental matters, including climate change. The CRRC includes the following roles: the Chief Communications and Reputation Ofcer, the Chief Enterprise Responsibility Ofcer, the Environmental Sustainability Director, Chief Ethics Ofcer, the Deputy General Counsel, and many others. Additional corporate policies and processes help identify, assess, and manage risk, including a new products and services risk assessment, self- identifed issues management program, reputation risk councils, vendor due diligence, and credit risk review. Symbol: Not Climate Event Input: In our Electricity Transmission business, we propose £1.35 billion of expenditure to connect new generation and transport electricity across the country to where it is consumed, connect us to neighbouring electricity markets and support the Electricity System Operator in being able to operate a zero-carbon electricity system by 2025. Whilst consistent with Ofgem’s business plan criteria, we recognise that these investments alone are insufficient to deliver net zero targets and have therefore proposed whole system options to accelerate progress towards net zero, for example through ultra-rapid vehicle charging at motorway service areas. As the optimal path to achieving net zero is unclear, we developed a series of uncertainty mechanisms that allow our plans to flex to deliver against the range of low-carbon system developments our customers could bring forward. Symbol: Not Climate Event Input: Megatrend As the world’s population becomes increasingly urbanized, infrastructure development and renewal will be unable to keep up, and major social issues such as housing shortages, traffic paralysis, and air pollution will only worsen. In newly emerging nations, environmental awareness will increase as the economy grows, and investments into environmental measures will proceed at the national and the global levels. Symbol:	Not Climate Event
Input: In developing our scenario analysis, we used internal data sets and assumptions made in our existing business models. We considered the views of departments across the business to better understand risks and time horizons. We also took the time to consider impacts and dependencies. This helped us to report on the risks and opportunities that are most material to our organization. Symbol: Climate Event Input: The current model for financing renewables is an example of inefficient distribution of effort, since, even though the electricity sector accounts for only around 25% of energy consumption, it is the electricity consumers who bear most of these costs (more than 80% in Portugal and Spain). This effect distorts competition among the various energy vectors, limiting electrification and penalizing consumers who are most dependent on this energy vector. Symbol: Not Climate Event Input: While the transformation of our systems will continue beyond 2021, we are committed to remaining within the guided transformation investment spend of €1.4 billion equating to an average of 50 to 60 basis points of Common equity tier 1 (CET1) capital annually until 2021. We expect that investment in transformation beyond 2021 will be at a lower level. Symbol: Climate Event Input: The Audit Committee Charter states that the committee will 'discuss policies and procedures with respect to risk assessment and risk management, the company's major risk exposures, and the steps management has taken to monitor and mitigate such exposures.' The Vice President and General Auditor, Corporate Auditing, whose appointment and performance is reviewed and evaluated by the Audit Committee, is responsible for leading the formal risk assessment and management process within the company. Symbol: Climate Event Input: IFC is helping reverse that decline. In 2018, we launched a Maximizing Finance for Development initiative — working with other members of the World Bank Group — to finance a $12 million solar project in Gaza to ease the energy shortage. The 7-megawatt rooftop solar-power plant will provide critical energy to 32 factories in the Gaza Industrial Estate — much more cheaply than before. The project will create around 800 jobs. Symbol: Not Climate Event Input: CLIMATE CHANGE Climate change presents immediate and long-term risks to Citi and to its clients and customers, with the risks potentially increasing over time. Climate risk can arise from physical risks (risks related to the physical effects of climate change) and transition risks (risks related to regulatory, legal, technological and market changes from a transition to a low- carbon economy). Symbol: Not Climate Event Input: Aiming to facilitate the creation of a sustainable society and realization of SDGs via its financial services, MUFG has committed to extending a total of ¥20 trillion for sustainable finance over a period spanning from fiscal 2019 to fiscal 2030 (of this, ¥8 trillion will be used for environmental finance). Symbol: Not Climate Event Input: Although we have devoted significant resources to develop our risk management policies, procedures and methods, including with respect to market, credit, liquidity, operational as well as reputational and model risk, they may not be fully effective in mitigating our risk exposures in all economic market environments or against all types of risk, including risks that we fail to identify or anticipate. Symbol: Climate Event Input: Now, these older coal and gas plants are being shuttered in the UK and being replaced by intermittent renewable energy sources, principally wind. This reduces carbon emissions but makes the provision of these system support services more challenging. Wind, by its nature, is intermittent and, for the most part, unable to provide system support services. Symbol:	Not Climate Event
Input: Reputational and financial impact: Increased concern over climate change could lead to increased expectations to fossil fuel producers, as well as a more negative perception of the oil and gas industry. This could lead to litigation and divestment risk and could also have an impact on talent attraction and retention and on our licenses to operate in certain jurisdictions. Symbol: Not Climate Event Input: JetBlue's workforce is broadly diversified among several job classifications, with Airport Operations crewmembers as the largest group at 31.3%. Nearly all (99.2%) of JetBlue's workforce is based in the United States. For more information on our workforce and crewmembers, see page 39. (TR0201-05) Symbol: Climate Event Input: Of this, ¥8 trillion will be used for environmental finance aimed at helping counter climate change and otherwise addressing environmental concerns. Specifically, we will help popularize renewable energy via project finance while issuing Green Bonds whose net proceeds are allocated to Eligible Green Projects. We will also deliver other products and services designed to help reduce the environmental burden, with the aim of supporting the transition to a decarbonized society. (Please also refer to page 58 for details.) Symbol: Not Climate Event Input: Prior to submission to the Board of Directors for final approval, investment decisions are reviewed by the EBRD Investment Committee (OpsCom). OpsCom is chaired by the First Vice President and Head of Client Services Group and includes representatives of all relevant functions involved in the business activity, including Banking, Legal, Risk Management, and the Economics, Policy and Governance team looking after the mandated objectives of the EBRD. Symbol: Climate Event Input: Compliance risk Compliance risk is the risk of failure to comply with applicable rules and regulations, and in so doing, exposing the group to penalties and reputational damage. Penalties received or due for non-compliance are an example of this risk. As a leading financial services group, the group faces complex challenges to ensure that its activities comply with local legislation, regulations and supervisory requirements and the relevant international standards and requirements. Symbol: Climate Event Input: When these damages are uninsured – and therefore borne by households, businesses or public authorities – this affects financial institutions’ exposure to these parties. The second type of risk, transition risk, is the result of the transition to a carbon-neutral economy. Climate policy, technological developments and changing consumer preferences may cause the value of loans and investments in sectors and companies that emit large quantities of carbon dioxide or other greenhouse gases to decrease much faster than previously expected. Underestimating this risk could lead to sudden and significant losses in the financial sector. Such a collapse is what is known as a Symbol: Not Climate Event Input: However, while any of these factors may lead to commencement of Engagement, we have decided to particularly focus on companies in relation to which we have particular ESG-related concerns, or which do not publish adequate environmental information, or which are ‘laggards’ with regard to a commitment to address climate change issues. Symbol: Not Climate Event Input: In our outlook for impacts on our clients' business, we employed two scenarios: a static scenario which assumes that no attempt is made to transform the present business structure, and a dynamic scenario under which the business structure is transformed. Symbol: Climate Event Input: Banks’ financing choices have a major role to play in promoting carbon reduction. Bank lending and investments make up a significant source of external capital for carbon intensive industries. Every rand invested by South African banks in fossil fuel-related assets increases climate risk, renders it harder to achieve a just transition to a low-carbon economy, and exposes those banks to financial, reputational and litigation risks. Symbol:	Not Climate Event
Input: Regulatory risk is the risk of failure to meet new or existing regulatory and / or legislative requirements and deadlines, or a failure to embed compliant procedures into processes. It also includes the risk to the Group's capital, liquidity and profitability from the impact of future legislative and regulatory changes. Symbol: Climate Event Input: To bring focus to operational performance, we undertook a pilot certification of seven assets under BREEAM In Use. We will certify a further 30 assets over the next 24 months and have underpinned this goal with the announcement in March of a £450m ESG linked Revolving Credit Facility that requires a continual increase in green building certifications. Symbol: Not Climate Event Input: Prior to submission to the Board of Directors for final approval, investment decisions are reviewed by the EBRD Investment Committee (OpsCom). OpsCom is chaired by the First Vice President and Head of Client Services Group and includes representatives of all relevant functions involved in the business activity, including Banking, Legal, Risk Management, and the Economics, Policy and Governance team looking after the mandated objectives of the EBRD. Symbol: Climate Event Input: F rom an investor’s perspective, climate change entails both physical and transition risks, which have an impact on the value of investments. Physical risks are divided into acute and chronic risks, which refer to the challenges that climate change poses to companies and society, such as unexpected damage caused by extreme weather events or the depletion of natural resources in the longer term. Transition risks refer to changes, for example, in regulation, technology and consumer behaviour that the transition to a lower-carbon economy entails. Symbol: Not Climate Event Input: As our activities advance, the metrics and targets we use to monitor our success will likely evolve as well. Through our participation in industry groups, we intend to continue developing appropriate metrics that can be adopted consistently by financial institutions to provide comparable, decision-useful information to investors. Symbol: Climate Event Input: The Fund is working to identify governance issues in its underlying investment holding companies which could damage its long-term financial interests. The risk analysis is based upon the following potential adverse impacts on a company’s: i) Reputation. ii) Falling short of its peers on social, environmental or ethical trends. iii) Slow in responding to social changes and trends. iv) Falling short of its peers on meeting reporting standards. v) Comparatively weak board structure in terms of make-up, expertise, independence. Symbol: Not Climate Event Input: 14 those related to our products and services, demand and distribution, financial performance, credit rating and debt obligations. Given that developments concerning the COVID-19 pandemic have been constantly evolving, additional impacts and risks may arise that we are not aware of or able to appropriately respond to at this time. Symbol: Climate Event Input: IFC is targeting new growth areas in energy storage, transportation logistics, distributed renewables, off-shore wind, nature-based solutions, and carbon capture and storage. In March 2020, IFC hired an electric vehicle (EV) industry specialist to help build IFC’s business across the EV value chain, including charging infrastructure, manufacturing, batteries, and financing platforms. Symbol: Not Climate Event Input: Thabametsi and Khanyisa. In its 2017 Environmental and social risk report, the Company said that it was “concerned about climate change and the risks it poses for Africa, clients and their businesses,” but argued that developing nations and financial institutions face a dilemma in terms of balancing climate change against the “need to support economic growth and the energy supply that underpins it”6 FirstRand does not describe how it manages this “dilemma” in its financing decision-making processes. Symbol:	Not Climate Event
Input: JPMorgan Chase is committed to creating a more sustainable future for our employees, customers and communities. Our firm has committed to facilitate $200 billion in financing in 2020 to support the objectives of the United Nations’ Sustainable Development Goals, with a focus on addressing climate change and advancing social and economic development. Symbol: Not Climate Event Input: CORPORATE AND HOUSEHOLD DEBT 25 carried out a benchmark study of the banks’ calculated risk weights for exposures to commercial real estate. The results of the two analyses showed that there is a risk that the capital banks have earmarked for lending to commercial real estate will not sufficiently compensate for the credit losses that could arise following a severe financial stress. It is against this background that FI proposes higher capital requirements for lending to commercial real estate (see “Stability in the banking sector”). Symbol: Climate Event Input: These objectives include, amongst others, the commitment to facilitate the mobilisation of €120 billion of green finance between 2019 and 2025, as well as to financially empower 10 million people in the same period, through increasing microfinance activities, financial education programmes and other tools that give access to financial services. Symbol: Not Climate Event Input: The CFO convened a Scenario Discussion Workshop where members of senior leadership discussed the Company's current state, considered possible future scenarios, identified different risks and opportunities within these scenarios, and discussed the financial implication of these impacts on the Company. Symbol: Climate Event Input: Our offerings are designed to meet the specific needs of IFC clients in different industries — with a special focus on infrastructure, manufacturing, agribusiness, services, and financial markets. In FY18, we made $11.6 billion in long-term investments in 366 projects. In addition, we mobilized nearly $11.7 billion to support the private sector in developing countries. Symbol: Climate Event Input: Climate resilience In October 2019, we updated our scenario analysis on the value of our generation portfolio, to evaluate the impact of the more ambitious Paris Agreement goal of a 1.5 C carbon reduction pathway.14 Our generation portfolio represented 84 per cent of our operated Scope 1 and Scope 2 emissions in FY2020. Symbol: Not Climate Event Input: The Trustees believe that climate change will have significant and wide-ranging implications for the global economy and therefore presents a Significant risk to the long-term value and security of the pension fund's assets. The Trustees also believe that failure to consider ESG factors, including climate change, cou ld lead to underperformance or financial loss in the short as well as the longer term. Symbol: Not Climate Event Input: - African Americans, Asians, and Hispanics/Latinos combined make up 13.7% of the aircraft pilots and flight engineers in the U.S. - Women make up 3% of aircraft mechanics and service technicians. Symbol: Climate Event Input: CLIMATE CHANGE Climate change presents immediate and long-term risks to Citi and to its clients and customers, with the risks potentially increasing over time. Climate risk can arise from physical risks (risks related to the physical effects of climate change) and transition risks (risks related to regulatory, legal, technological and market changes from a transition to a low- carbon economy). Symbol:	Not Climate Event
Input: Validation We established a common understanding between Toyota Motor Corporation (TMC) and all regions at the global meetings also based on the analyses conducted by overseas affiliates. We also engaged in dialogue with international organizations to validate the issues identified from perspectives outside of the company. The matrix was confirmed by relevant executives. Symbol: Climate Event Input: - - A new loan or a subsequent decision for an existing loan is then approved depending on the extent of the risk ('risk exposure') by the relevant decision-making level (Senior Manager, Vice President, Team Head, Head of Division or Head of Department, Group Credit Risk Committee, entire Executive Board, Board of Supervisory Directors). Symbol: Climate Event Input: Risk committees Effective risk management requires company-wide risk governance. ING's risk and control structure is based on the 'three lines of defence' governance model, whereby each line has a specific role and defined responsibilities and the execution and control of tasks are separated. At the same time, the three lines have to work closely together to identify, assess and mitigate risks. This governance framework is designed to manage risk in line with ING's overall risk appetite as approved by the Management Board Banking, Executive Board and Supervisory Board. Symbol: Climate Event Input: Unfortunately, this progress has come at a cost. Carbon emissions have tripled since 1960. We are now consuming about 1.75 times as many natural resources in a year as the planet can possibly regenerate – which is driving land and biodiversity loss, resource shortages and climate change. This is not sustainable, especially with the global population forecast to increase by a further 50% this century. And although people are living longer, they’re not always healthier or happier: there’s been an increase in chronic disease, while mental health issues are also on the rise. Symbol: Not Climate Event Input: Climate change is a challenge faced by the entire P&C insurance industry. In particular, our home insurance business has been affected due to changing climate patterns and an increase in the number and cost of claims associated with severe storms. Water damages now make up more than half of our home insurance claims. Symbol: Not Climate Event Input: Our capital expenditure programme is focused on maintaining and improving our assets and services, ensuring we can deal with growth, and on meeting water quality and environmental standards. In AMP6, we completed a £2.2 billion programme of investment, delivered by our alliance partners, which will help provide our services until 2030. Symbol: Not Climate Event Input: Environmental, Social, and Governance Evaluation In April 2019, Ratings launched a comprehensive Environmental, Social, and Governance Evaluation that enables companies to measure their long term preparedness to manage Environmental, Social, and Governance exposure and opportunities. The Environmental, Social, and Governance Evaluation combines quantitative and qualitative analysis and considers both near-term and longer-term Environmental, Social, and Governance risks and risk mitigants for the subject company/entity. Our criteria for evaluating Environmental, Social, and Governance risks will vary by issuer type depending on the issuer's sensitivities; corporate analysis considers risks in the context of the company's business risk profile, financial risk profile, and management and governance assessment; sovereign analysis considers an assessment of institutional quality and governance effectiveness, while U.S. public finance analysis will typically consider Environmental, Social, and Governance factors in the context of management effectiveness and planning. In addition, Ratings has also added Environmental, Social, and Governance sections to its credit ratings reports on corporate entities, increasing transparency into how it incorporates Environmental, Social, and Governance factors. Symbol: Not Climate Event Input: If Philips is unable to ensure effective supply chain management, e.g. facing an interruption of its supply chain, including the inability of third parties to deliver parts, components and services on time, and if it is subject to rising raw material prices, it may be unable to sustain its competitiveness in its markets. Symbol: Climate Event Input: Among the important risks identified in STEP 1, we recognize rising raw material prices due to a decline in the harvest of agricultural materials and increased costs owing to the introduction of a carbon tax, which have a particularly high impact on our businesses. We therefore evaluated this business impact as follows. Symbol:	Not Climate Event
Input: Credit In 2019, DNB committed to a second phase of United Nations Environment Programme FI's Task Force on Climate-related Financial Disclosures banking pilot, which will run to mid-2020. In this Phase 2 pilot DNB will prioritise the power and renewables and oil, gas and offshore sectors. We expand on the scenario approach developed in United Nations Environment Programme FI's Task Force on Climate-related Financial Disclosures banking pilot Phase 1, and quantify climate risk in credit portfolios for climate scenarios with temperature increases of 1.5, 2 and 4 degrees Celsius. The scenarios describe a range of severe climate-related changes, against which we stress-test our portfolio resilience in the short, medium (2030) and long (2040) term. Symbol: Not Climate Event Input: In recent years the impact of climate change is being felt throughout Japan. Its e ects include higher surface temperature, more frequent heavy rainfall events, declining quality of agricultural products, shifting plant and animal species distributions, and a higher risk of heat illness. �ere is a high probability that these e ects will continue and become more severe over an extended period. Symbol: Not Climate Event Input: As a founding member of the Australian Business Roundtable for Disaster Resilience & Safer Communities, IAG works collaboratively with governments to effect change in public policy, increase investment aimed at building safer and more resilient communities and working to improve the capacity of people and businesses to better withstand future natural disasters. IAG has also been invited by the Governments in Australia and New Zealand to play a role in climate change management, including active engagement and contribution to the National Resilience Taskforce in Australia. In New Zealand IAG is working through the Climate Leaders Coalition to ensure businesses are actively adapting and building resilience to climate impacts. As a key member of the Insurance Council of Australia, the representative body of the general insurance industry in Australia, IAG plays an active role in the Council's Climate Change Action Committee and Data and Knowledge Sub-Committee. Symbol: Not Climate Event Input: This USD 310 million green bond carries a coupon rate of 4.75% and a 5-year maturity due 2023. The proceeds from the green bond are used to finance the following two green projects in the Greater Bay Area, both due for completion by the end of 2021. The “New World China Symbol: Not Climate Event Input: This transition does not, however, automatically translate into a financial risk for us. For example, motor insurance is the most important business line of the re/insurance sector globally. According to Swiss Re's sigma database, it currently represents approximately 33% of global non-life gross written premiums and is expected to grow further, albeit at a lower rate. Symbol: Climate Event Input: These exercises highlight that not enough data are available for a bottom-up approach, assessing the vulnerabilities specific to Group clients and incorporating their response and remediation functions on a forward-looking basis. Symbol: Climate Event Input: 51 In February 2020, BlackRock made a charitable contribution of its 20% stake in PennyMac Financial Services, Inc. to the BlackRock Foundation, a newly established corporate foundation, and the BlackRock Charitable Fund, a donor- advised fund, which was established in 2013. Symbol: Climate Event Input: Each presentation includes the following: an overview of the business group, shortand long-term financial performance and goals, an assessment of portfolio growth opportunities, and strategic priorities to drive our Value Model. Symbol: Climate Event Input: Additional climate variables and related environmental stressors are known to affect production but were assessed more broadly due to data and evidence limitations. These parameters include fire, cyclones, sea level rise, pests and diseases. As a result, our modelling of physical climate risk may understate the potential impact of climate change. Symbol:	Not Climate Event
Input: Supporting the Low-Carbon Transition Our business units are on pace to meet our commitment to mobilize $250 billion to support low-carbon solutions by 2030. They are building expertise, supported by GSF and the Institute for Sustainable Investing, to serve our clients' growing interest in Environmental, Social, and Governance issues and in climate change specifically. Survey data from the Institute suggests rapidly accelerating interest in climate-focused solutions among asset managers, asset owners and individual investors. In response, we are developing accessible new products, such as Morgan Stanley Impact Quotient (see page 15). Our early work in 2013 in scaling green- bond financing has catalyzed new opportunities and continues to drive sector innovation in green and sustainable bonds. Symbol: Not Climate Event Input: Data: Advancements in new technologies and new services, an increasing external threat landscape, and changing regulatory requirements increase the need for the Group to effectively govern, manage, and protect its data (or the data shared with third-party suppliers). Failure to manage data risk effectively can result in unethical decisions, poor customer outcomes, loss of value to the Group and mistrust. Symbol: Climate Event Input: In addition, our businesses and the markets in which we operate are continuously evolving. We may fail to fully understand the implications of changes in our businesses or the financial markets or fail to adequately or timely enhance our risk framework to address those changes. If our risk framework is ineffective because it fails to keep pace with changes in the financial markets, regulatory requirements, our businesses, our counterparties, clients or service providers or for other reasons, we could incur losses, suffer reputational damage or find ourselves out of compliance with applicable regulatory or contractual mandates or expectations. Symbol: Climate Event Input: Climate Action Plan: IFC continues to focus on five strategic priority areas of climate business — clean energy, climate-smart agribusiness, green buildings, climate-smart cities, and green finance — as well as account for climate risk in key high-risk sectors. IFC’s climate strategy is part of the World Bank Group’s Climate Action Plan which ran through FY20. The WBG Climate Action Plan is being updated and will cover FY21-25. • FY20 own account investment in climate: $3.3 billion • FY20 mobilization of external private capital: $3.5 billion • Integrate climate in post-COVID rebuild • Target future market growth in nature-based solutions, carbon capture and storage, and electric vehicles Symbol: Not Climate Event Input: Application - Projects with high and irreversible risks and po - tential impact, where it is not deemed possible to establish a viable action plan, or projects that con - travene the Bank's corporate values, are rejected. Symbol: Climate Event Input: In 2019, AP6 compiled its first high-level analysis of physical climate risks in the portfolio. Although it does not go into great depth, it does indicate that there are medi- um-high risks in nearly half of the portfolio. It is not currently possible for AP6 to, at the portfolio level, assess other climate-related risks like changes in consumer behavior or more regulation of products and emissions. Symbol: Not Climate Event Input: At the announcement of the business plan for the fiscal year ending March 31, 2020, as for investments and loans, we are setting the target at ¥2.1 trillion, which is within the three-year cumulative range announced already, and there is no change to our forecasts for asset recycling and shareholder returns. Symbol: Climate Event Input: A reduction in GHG emissions relies on the commercial viability and scalability of emission reduction strategies and related technology and products. In the event that we are unable to implement these strategies and technologies as planned without negatively impacting our expected operations or cost structure, or such strategies or technologies do not perform as expected, we may be unable to meet our GHG 2030 targets or 2050 ambition on the current timelines, or at all. Symbol: Not Climate Event Input: Limitations and uncertainties This analysis is based on best available information. However, it is unable to overcome some important limitations and uncertainties. For example, climate change simulations currently have minimal ability to model extreme weather events. Similarly, agricultural impact models need to be further developed to test the bounds at which statistical relationships change. Symbol:	Not Climate Event
Input: Project STOP was formally kicked-off in July 2017 and publicly announced at the Our Oceans Conference 2017 in Malta. Implementation of the first city partnership project started in April 2018 in Muncar, East Java, Indonesia. Muncar is a major fishing port suffering from plastic litter in its harbour, beaches and rivers. Symbol: Not Climate Event Input: The impact of climate change may over time affect the operations of the Group and the markets in which the Group operates. This could include physical risks such as acute and chronic changes in weather and/or transitional risks such as technological development, policy and regulatory change, and market and economic responses. Efforts to address climate change through laws and regulations, for example by requiring reductions in emissions of GHGs such as CO2, can create economic risks and uncertainties for the Group’s businesses. Such risks could include the cost of purchasing allowances or credits to meet GHG emissions caps, the cost of installing equipment to reduce emissions to comply with GHG limits or required technological standards, decreased profits or losses arising from decreased demand for the Group’s goods and higher production costs resulting directly or indirectly from the imposition of legislative or regulatory controls. Manifestation of these increased costs may increase the underlying cost of production of the Group’s products which may adversely impact the financial performance of the Group. Symbol: Not Climate Event Input: This broad, detailed study found BNP Pari- bas' business model to be resilient to these risks, with respect to: o its businesses, and the sector and geographic classifications of its portfolios; o the measures taken to mitigate these risks. Symbol: Climate Event Input: The EBRD's target to increase green financing to 40 per cent of its total annual financing by 2020, was achieved in 2019, with total GET-eligible finance reaching 46 per cent.7 The Bank is currently in the process of preparing its next green economy targets to cover the period 2021-25. Symbol: Not Climate Event Input: DRAFT 1 d4a Changing regulatory requirements AnnualReport- We take our regulatory obligations seriously and manage non-compliance with regulatory requirements as a risk, with supporting risk appetite statements set by the Board. Symbol: Climate Event Input: Citi is on track to meet our climate-related targets. We will continue to set new goals and report new metrics as the need and opportunity arises to help us manage our climate change risks, opportunities and responsibilities. We will also continue to evaluate how we can create new and better metrics and targets to review and report on our climate- related strategy as it evolves. Symbol: Not Climate Event Input: In 2020, the EBRD signed a US$ 100 million project to finance Louis Dreyfus Company's (LDC) subsidiaries operating in Bulgaria, Egypt, Kazakhstan, Poland, Romania, Tajikistan, Turkey and Ukraine. The transaction will finance working capital needs for the trading activities of LDC's subsidiaries in these countries. Symbol: Climate Event Input: In addition, our businesses and the markets in which we operate are continuously evolving. We may fail to fully understand the implications of changes in our businesses or the financial markets or fail to adequately or timely enhance our risk framework to address those changes. If our risk framework is ineffective because it fails to keep pace with changes in the financial markets, regulatory requirements, our businesses, our counterparties, clients or service providers or for other reasons, we could incur losses, suffer reputational damage or find ourselves out of compliance with applicable regulatory or contractual mandates or expectations. Symbol: Climate Event Input: The Electricity, Gas and Water Supply sectors show a general downward trend. The discontinuation of a number of high emissions intensive exposures contributed to this result in FY18. Our exposure to renewables increased 33% to $3.7 billion in FY18. A portion of the exposure included projects under construction which are typically initially more emissions intensive than operational renewable electricity assets. Symbol:	Not Climate Event
Input: This broad, detailed study found BNP Pari- bas' business model to be resilient to these risks, with respect to: o its businesses, and the sector and geographic classifications of its portfolios; o the measures taken to mitigate these risks. Symbol: Climate Event Input: Formerly known as Total Energy Ventures, TOTAL’s venture capital fund has been renamed Total Carbon Neutrality Ventures (TCNV). Its investments are now entirely dedicated to carbon neutrality businesses and are expected to reach an aggregate amount of $400 million by 2023. TCNV invests in the upstream stage of the development of companies offering interesting technologies or economic models that enable companies to cut their energy consumption or the carbon intensity of their activities. With teams based in Europe and the United States, the fund makes its investments on a worldwide scale in smart energy, energy storage, smart mobility, bioplastics and recycling. While TCNV mainly invested in Europe and the United States in the past, the fund started investing in China in 2018. In particular, TCNV has signed an agreement with NIO Capital to cooperate and to invest in the mobility segment. Symbol: Not Climate Event Input: The physical impacts of climate change can compound existing environmental risks to operations, supply chains and markets, and impact our ability to obtain key inputs or meet our customers needs. This impact may include disruption to upstream suppliers, manufacturing sites, and downstream warehousing and distribution. The transition to a low-carbon future may also impact the cost of inputs used in product manufacturing and customer demand preferences. Symbol: Not Climate Event Input: BlackRock’s Sustainable Investing platform consists of more than $50 billion in dedicated ESG strategies. We also manage more than $440 billion in solutions that eliminate exposure to certain sectors or activities. And we offer our strategies in index and alpha-seeking, with varying levels of customization, from iShares Sustainable Core ETFs to bespoke, institutional client solutions. Symbol: Not Climate Event Input: In 2020, the EBRD signed a US$ 100 million project to finance Louis Dreyfus Company's (LDC) subsidiaries operating in Bulgaria, Egypt, Kazakhstan, Poland, Romania, Tajikistan, Turkey and Ukraine. The transaction will finance working capital needs for the trading activities of LDC's subsidiaries in these countries. Symbol: Climate Event Input: We define short term as up to a year aligned with budget; medium term as 3-4 years aligned with budget planning; long term as 5-7 years aligned with strategic planning; and, for ad hoc analysis, we define longer term as beyond 7 years. Symbol: Climate Event Input: Cities account for 75 per cent of worldwide greenhouse gas (GHG) emissions. EBRD Green Cities, a programme that supports sustainable urban planning and investment, is central to Bank efforts to curb climate change. Under the initiative in 2018, the EBRD invested €265 million in 10 projects which together are expected to reduce GHG emissions by 319,000 tonnes annually. Donors help to fund the action plans that are the centrepiece of EBRD Green Cities and other aspects of the programme. Symbol: Not Climate Event Input: It is also used to identify what are known as emerging risks, in other words risks which could potentially have an adverse impact on the Group’s future performance, although their result and horizontal time frame are uncertain and difficult to predict (for further details see section ‘Emerging risks’ from chapter C. Background and upcoming challenges). Symbol: Climate Event Input: Scope 3 Data Centres Scope 3 Data Centres Greenhouse Gas Emissions (Australia operations) relate to the electricity and diesel Greenhouse Gas Emissions consumption in our Australian data centres not under our operational control as defined under NGER. CBA has (Australia operations) not had operational control of any data centres since FY18. Source of emissions factors: NGA (2018). Symbol:	Not Climate Event
Input: Forests, which are home to 80% of Earth's biodiversity, are shrinking by 13 million hectares per year. More than 75% of the planet's land surface has already been altered in a more or less reversible way, leading to desertification, deforestation, pollution and salinisation. At the current rate, experts at the IPBES (Intergovernmental Platform on Biodiversity and Ecosystem Services) estimate that 95% of the planet's land may deteriorate by 2050, which could provoke massive population displacements. Symbol: Not Climate Event Input: Application - Projects with high and irreversible risks and po - tential impact, where it is not deemed possible to establish a viable action plan, or projects that con - travene the Bank's corporate values, are rejected. Symbol: Climate Event Input: At the announcement of the business plan for the fiscal year ending March 31, 2020, as for investments and loans, we are setting the target at ¥2.1 trillion, which is within the three-year cumulative range announced already, and there is no change to our forecasts for asset recycling and shareholder returns. Symbol: Climate Event Input: BNP Paribas has analysed climate scenarios developed by several external organisations and selected a few. The Group predominantly uses the scenarios developed by the IEA and the IPCC22 and, for France, the EpE's ZEN2050 analysis, which modelled a possible pathway enabling France to become carbone neutral by 2050. For several years, BNP Paribas has published, in its Registration Document, a yearly comparison of the energy mix that the Group finances with the energy mix in the IEA scenario compatible with the Paris Agreement goal. This scenario includes only energy-related emissions, but is one of the most widely recognised scenarios used around the world. For 2018 and 2019, Symbol: Not Climate Event Input: In Europe, as new legislative initiatives have been brought in, we have sought to maximize the opportunities for digital dissemination. BlackRock produces approximately 50,000 Undertakings for the Collective Investment in Transferable Securities ('UCITS') Key Investor Information Documents a year in multiple languages and we use our website as our primary delivery mechanism. We have also consistently advocated for key information disclosure documents, including UCITS, packaged retail investment, and insurance-based investment products and pan European personal pension products to be designed on a digitally friendly basis rather than on a paper basis.65 Symbol: Climate Event Input: The foregoing list of risk factors is not exhaustive. Additional information about these factors can be found in the Risk Management section of the Bank's 2019 Annual Report. This information may be updated in our quarterly Shareholder Reports. Investors and others who rely on the Bank's forward-looking statements should carefully consider the above factors as well as the uncertainties they represent and the risk they entail. Symbol: Climate Event Input: Ecological factors and environmental regulations for access to raw material deposits also create a degree of uncertainty. In some regions of the world, for example in West Africa south of the Sahara, raw materials for cement production are so scarce that cement or clinker needs to be imported by sea. Rising transportation costs and capacity constraints in the port facilities can lead to an increase in product costs. Symbol: Not Climate Event Input: Objectives: Introduce a directive carbon price in 60% of the annual expenditure committed to new projects Introduce a harmonised global circularity indicator for goods and services Systematically offer pay packages partially index-linked to our global performance Raise employee awareness and promote training in emerging models (carbon accounting, new business models, etc.) Symbol: Not Climate Event Input: Importance Global warming is causing major changes to our environment. Climate change looks to be increasing the frequency and intensity of extreme weather events such as heat waves, droughts, floods and tropical cyclones, damaging critical infrastructure and interrupting the provision of basic services such as food, water, sanitation, education, energy and transport. Symbol:	Not Climate Event
Input: An internal analysis of the generation fuel mix associated with our power utilities portfolio indicates approximately a third of our exposure is low-carbon, not inclusive of our $9.4 billion portfolio of tax equity investments 16F 17 in wind and solar projects throughout the U.S. We have dramatically reduced exposure to companies focused on coal extraction, as evidenced by the fact that pure play coal extraction now only represents $155 million of our energy sector exposure (or 0.4%), down nearly 80% from $762 million at FYE 2015. Symbol: Not Climate Event Input: Operational risks are inherent in the Barclays Bank Group’s business activities and it is not cost effective or possible to attempt to eliminate all operational risks. The Operational Risk Framework is therefore focused on identifying operational risks, assessing them and managing them within the Barclays Bank Group’s approved risk appetite. Symbol: Climate Event Input: Mobilizing private and institutional capital: We mobilize capital to support environmental and social issues, including the transition to a low carbon economy. For example: - We offer 100% sustainable cross-asset portfolios for private clients in Wealth Management, currently available in Switzerland and Germany. - Our wealth management business is developing a range of new thematic and pooled impact investments. - We participated in launching Align17 - a WEF Young Global Leaders initiative - an independent platform which stands out in connecting a wider range of public, institutional, and private wealth investors with investment opportunities related to the Sustainable Development Goals. - Our Asset Management business established a comprehensive approach to environmental and social factors, and to corporate governance, across investment disciplines. The 2017 Global Real Estate Sustainability Benchmark (GRESB) awarded ten of UBS Asset Management's real estate and infrastructure funds 5-star ratings, and seven funds ranked first in their respective peer groups. - Our Investment Bank provides capital-raising and strategic advisory services globally to companies offering products that make a positive contribution to climate change mitigation and adaptation, including those in the solar, wind, hydro, energy efficiency, waste and biofuels, and transport sectors. - We strive to be the preferred strategic financial partner relating to Switzerland's energy strategy 2050. And the UBS Clean Energy Infrastructure Switzerland strategy offers institutional investors unprecedented access to a diversified portfolio of Swiss infrastructure facilities and renewable energy companies. Due to client's demand, a successor strategy was launched in September 2017. Symbol: Not Climate Event Input: The Group faces many other risks which, although important and subject to regular review, have been assessed as less significant and are not listed here. These include, for example, natural catastrophe and business interruption risks and certain financial risks. A summary of financial risks and their management is provided on page 29. Symbol: Not Climate Event Input: Based on this assessment, the directors have a reasonable expectation that the Group will be able to continue in operation, meet its liabilities as they fall due and raise financing as required over the period to December 2022. Symbol: Climate Event Input: Regulatory risk is the risk of failure to meet new or existing regulatory and / or legislative requirements and deadlines, or a failure to embed compliant procedures into processes. It also includes the risk to the Group's capital, liquidity and profitability from the impact of future legislative and regulatory changes. Symbol: Climate Event Input: Prior to submission to the Board of Directors for final approval, investment decisions are reviewed by the EBRD Investment Committee (OpsCom). OpsCom is chaired by the First Vice President and Head of Client Services Group and includes representatives of all relevant functions involved in the business activity, including Banking, Legal, Risk Management, and the Economics, Policy and Governance team looking after the mandated objectives of the EBRD. Symbol: Climate Event Input: This USD 310 million green bond carries a coupon rate of 4.75% and a 5-year maturity due 2023. The proceeds from the green bond are used to finance the following two green projects in the Greater Bay Area, both due for completion by the end of 2021. The “New World China Symbol: Not Climate Event Input: Physical damage may arise with more frequency due to extreme weather events. This includes damage to equipment such as turbine blades and transmission infrastructure, as well as access roads, which impact operational performance. Risks also include long-term changes to weather patterns causing material change to an asset’s energy yield from that expected at the time of investment. Symbol:	Not Climate Event
Input: Prior to submission to the Board of Directors for final approval, investment decisions are reviewed by the EBRD Investment Committee (OpsCom). OpsCom is chaired by the First Vice President and Head of Client Services Group and includes representatives of all relevant functions involved in the business activity, including Banking, Legal, Risk Management, and the Economics, Policy and Governance team looking after the mandated objectives of the EBRD. Symbol: Climate Event Input: Key objectives to address IAG's strategic focus area for disaster risk reduction and climate change are captured and disclosed in its Climate Action Plan and Scorecard, which has five areas of focus: 1. Symbol: Not Climate Event Input: Application - Projects with high and irreversible risks and po - tential impact, where it is not deemed possible to establish a viable action plan, or projects that con - travene the Bank's corporate values, are rejected. Symbol: Climate Event Input: (2018: €4.6bn, 2017: €4.6bn). mBank in Poland also wants to step up its commitment to environmentally friendly product solutions, with an initial investment of around €118m (PLN 500m) in renewable energy projects at the end of 2018. In July 2019, mBank decided to double this financing pool. To date, around three-quarters of the funds for investments have gone to the wind sector, with the rest supporting the development of solar parks. Symbol: Not Climate Event Input: Climate related risk Climate risk is a risk for the Group. The impacts of climate change have the potential to affect our customers’ ability to service and repay their loans, and the value of collateral the Group holds to secure loans. These impacts include long-term changes in climatic conditions, extreme weather events, and the action taken by governments, regulators or society more generally to transition to a low carbon economy. Symbol: Not Climate Event Input: This includes: To adopt low-carbon measures in daily office operation, paperless office and the use of energy-saving lights across businesses to reduce carbon emissions and energy consumption directly; Encourage employees to participate in environmental protection activities and the use of renewable energy and new energy in architectural design and project retrofitting; Encourage all employees and our partners to contribute to carbon emission reduction and promote low-carbon ideas. Symbol: Not Climate Event Input: We meet the financing needs of our customers with a broad and modern product range. The focus of the portfolio is on traditional owner-occupied home financing and the financing of real estate capital investments (residential mortgage loans and investment properties with a total EaD of €61bn). We provide our business customers with credit in the form of individual loans with a volume of €14bn. In addition, we meet our customers’ day-to-day demand for credit with consumer loans (consumer and instalment loans, credit cards to a total of €10bn). Symbol: Climate Event Input: The initiative has four working groups; government bonds, listed equities and corpo- rate bonds real estate and strategic asset alloca- tion. Representatives from AP2 participate in the steering group and in the working groups for government bonds and real estate. Symbol: Climate Event Input: High physical risk scenario (typically associated with a greater temperature increase) This is a climate change scenario that results in temperature change of greater than 4°C, resulting in extreme weather events which could threaten the successful operation of assets within the portfolio. We assume that under this scenario, renewables buildout lags expectations and energy is not decarbonised to an extent consistent with a lower impact from climate change and that insurance for damages may become unavailable or more expensive. Symbol:	Not Climate Event
Input: In regard to public policy risks, S&P Global monitors and engages on relevant developments globally through its Government Affairs function. The Company has established internal governance and reporting frameworks to identify, analyze, elevate, and engage on public policy risks and opportunities, including those associated with climate and environmental policy, sustainable finance, and related legislative initiatives. Symbol: Not Climate Event Input: In addition, we have been gradually introducing RPA, which uses robots to automate a series of tasks previously performed by employees, resulting in a reduction in work hours of approximately 300,000 hours in the fiscal year ended March 31, 2020. Going forward, we will continue to promote automation and labor savings in data input operations to improve administrative efficiency. Symbol: Climate Event Input: We do not provide normalised figures for our CO2 emissions nor ratios of CO2 to production, financial results or employee headcount, as we do not believe that reporting a normalised figure meaningfully contributes to an understanding of our performance. The scope and diversity of our products make a single production figure impossible to calculate and our financial results are impacted by commodity prices and foreign exchange rates, which are outside of our control. In addition, due to the nature of the exploration, development and the production cycle, our CO2 emissions do not necessarily correlate to our employee headcount. Symbol: Not Climate Event Input: - Other subjects: The Group is also participating in a study by the French Association of Private Companies (AFEP) on the comparison of 2 C scenarios and in a different study by Entreprises pour l'Environnement (EpE) ZEN 2050 on the decarbonisation of the French economy by 2050. Symbol: Not Climate Event Input: Data: Advancements in new technologies and new services, an increasing external threat landscape, and changing regulatory requirements increase the need for the Group to effectively govern, manage, and protect its data (or the data shared with third-party suppliers). Failure to manage data risk effectively can result in unethical decisions, poor customer outcomes, loss of value to the Group and mistrust. Symbol: Climate Event Input: Operational risks Operational risks relate to the losses resulting from inadequate or failed internal processes, people and systems, or due to external events. These risks normally fall within our low-risk appetite level as there is no strategic benefit from accepting the risk and accepting that it is not in line with our vision and values. Symbol: Climate Event Input: We have been investing in videoconferencing and remote working capabilities as part of our IT Transformation Programme. Videoconferencing is integrated into our online collaboration platforms, enabling colleagues to join virtual meetings anytime, anywhere. Our teams can run webcasts with up to 500 participants. Symbol: Climate Event Input: The Group is focusing its efforts on not only improving the percentage and quality of client coverage, but also gaining a better understanding of projected trends in each sector. The results of these efforts will serve to develop sector strategies and measure their impacts on the alignment of the loan book with the Paris Agreement goals. Symbol: Not Climate Event Input: Finally, prolonged and multiple periods of heatwaves or other consequences of rising temperatures may result in increased mortality and morbidity, thereby impacting our life and income insurance liabilities. Long-term threats are difficult to predict, but at this time, we expect this to have less impact on our life and income insurance liabilities than other risks, such as changes in demographics or pandemics. It should be noted though that whilst pandemic outbreaks can be attributed to a number of interrelated factors, climate change is likely to increase the risks by spreading of disease vectors into areas that formerly did not experience these. Symbol:	Not Climate Event
Input: The enterprise risks were categorized as an external, operational or strategic risk. External risks emerge from outside the organization, operational risks arise from within the organization, and strategic risks are associated with our strategic initiatives. The identified risks can significantly affect the Association’s finance, relevancy and reputation if mitigations are not in place. Symbol: Climate Event Input: During 2015, we emitted 23.4 million tonnes of Scope 1 (direct) CO2e emissions mainly from fuel usage. Our Scope 2 (indirect) CO2 emissions, totalled 13.7 million tonnes. Our Scope 3 emissions include emissions from a broad range of sources, including shipping, land transportation by third parties and the use of our energy products. Symbol: Not Climate Event Input: Over the past several years, changing weather patterns and climatic conditions, including as a result of global warming, have added to the unpredictability, frequency and severity of natural disasters and created additional uncertainty as to future trends and exposures. In particular, the consequences of climate change are expected to significantly impact the insurance industry, including with respect to risk perception, pricing and modeling assumptions, and need for new insurance products, all of which may create unforeseen risks not currently known to us. Symbol: Not Climate Event Input: Responsible investment, inclusive of climate change factors, is part of the standard due diligence conducted on each investment considered. Oversight of the proprietary rating system is the responsibility of our Responsible Investment Committee, which includes senior investment team representation from each platform. In this section we will touch on how the Capital Dynamics R-EyeTM Rating System, overseen by the Responsible Investment Committee and the firm's overall responsible investment initiatives help shape how we address climate change. Symbol: Not Climate Event Input: An important consideration in the assessment of each risk was the relevant timeframe where the risk may be realised. In each case, the relevant scenario was documented and the most likely time horizon was identified. The likelihood and consequence was then assigned based on those parameters. Symbol: Climate Event Input: In late 2017, CN committed to purchasing 200 new alternating current traction locomotives over the next three years to accommodate future growth opportunities and drive operational efficiency across the system. CN’s order is the largest among Class I railways since 2014. These high-horsepower engines are equipped with advanced digital technologies to optimize power distribution, train handling, brake control and fuel utilization. Symbol: Climate Event Input: Mobilizing private and institutional capital: We mobilize capital to support environmental and social issues, including the transition to a low carbon economy. For example: - We offer 100% sustainable cross-asset portfolios for private clients in Wealth Management, currently available in Switzerland and Germany. - Our wealth management business is developing a range of new thematic and pooled impact investments. - We participated in launching Align17 - a WEF Young Global Leaders initiative - an independent platform which stands out in connecting a wider range of public, institutional, and private wealth investors with investment opportunities related to the Sustainable Development Goals. - Our Asset Management business established a comprehensive approach to environmental and social factors, and to corporate governance, across investment disciplines. The 2017 Global Real Estate Sustainability Benchmark (GRESB) awarded ten of UBS Asset Management's real estate and infrastructure funds 5-star ratings, and seven funds ranked first in their respective peer groups. - Our Investment Bank provides capital-raising and strategic advisory services globally to companies offering products that make a positive contribution to climate change mitigation and adaptation, including those in the solar, wind, hydro, energy efficiency, waste and biofuels, and transport sectors. - We strive to be the preferred strategic financial partner relating to Switzerland's energy strategy 2050. And the UBS Clean Energy Infrastructure Switzerland strategy offers institutional investors unprecedented access to a diversified portfolio of Swiss infrastructure facilities and renewable energy companies. Due to client's demand, a successor strategy was launched in September 2017. Symbol: Not Climate Event Input: Identifying, quantifying and managing risk is complex and challenging. Although it is our policy and practice to identify and, where appropriate and practical, actively manage such risks to support objectives in managing capital and future financial security and flexibility, our policies and procedures may not adequately identify, monitor and quantify all risks. Symbol: Climate Event Input: For NN’s residential mortgage portfolio, we analysed physical risks. Physical risks for mortgages in the Netherlands are mainly related to damage caused to properties by flooding events (including surface water flooding caused by heavy rainfall, river flooding, and coastal flooding). These events could either lead to a value decrease of collateral and/or impact on the ability of a houseowner to pay their mortgage. Symbol:	Not Climate Event
Input: Climate change also threatens our food system which must produce 50% more food to feed over 9 billion people by 2050. However, changing weather patterns and growing seasons threaten suitable cultivation areas around the world. Business can spur positive change and achieving food security could create 80 million jobs and business opportunities worth $2.3 trillion annually by 2030. Linked to climate change is water scarcity, a threat to 3.2 billion people. If current usage continues the world will have only 60% of its required water by 2030. See pages 30 and 33 to 35 for more on climate change risks. Symbol: Not Climate Event Input: Broadly, the 2 degrees scenario demonstrated that IAG would incur additional operating costs, mainly as a result of the increased cost of carbon or other policy interventions. The 4 degrees scenario also demonstrated that IAG would incur additional operating costs, but in this case, these would more likely arise from increased cost of operational disruption due to increased frequency of extreme weather events. Symbol: Not Climate Event Input: In addition, we have been gradually introducing RPA, which uses robots to automate a series of tasks previously performed by employees, resulting in a reduction in work hours of approximately 300,000 hours in the fiscal year ended March 31, 2020. Going forward, we will continue to promote automation and labor savings in data input operations to improve administrative efficiency. Symbol: Climate Event Input: At the announcement of the business plan for the fiscal year ending March 31, 2020, as for investments and loans, we are setting the target at ¥2.1 trillion, which is within the three-year cumulative range announced already, and there is no change to our forecasts for asset recycling and shareholder returns. Symbol: Climate Event Input: - African Americans, Asians, and Hispanics/Latinos combined make up 13.7% of the aircraft pilots and flight engineers in the U.S. - Women make up 3% of aircraft mechanics and service technicians. Symbol: Climate Event Input: Thus, the Board of Directors, upon recommendation of its Compensation & Governance Committee, and following a comparative review of national, European and industry practices, decided to maintain unchanged, for 2020, the Chief Executive Off icer’s target annual variable compensation, at €1.45 million, i.e. 100% of the amount of his annual fixed compensation. Symbol: Climate Event Input: BNP Paribas seizes climate-related opportunities with corporate clients The Group acted on the following climate-related opportunities in the corporate clients segment in 2019: - Renewable energy financing reached $15.9 bil- lion. Symbol: Not Climate Event Input: Citi is on track to meet our climate-related targets. We will continue to set new goals and report new metrics as the need and opportunity arises to help us manage our climate change risks, opportunities and responsibilities. We will also continue to evaluate how we can create new and better metrics and targets to review and report on our climate- related strategy as it evolves. Symbol: Not Climate Event Input: Since the Industrial Revolution, an increase in energy consumption has heightened the concentrations of greenhouse gases, such as carbon dioxide (CO2), in the atmosphere, and global warming is progressing. If warming continues without taking any effective countermeasures, there will be major changes in the earth's climate. This will cause phenomena such as rising sea levels and abnormal weather patterns, and have a great impact on the living environments of people and other organisms. Abnormal weather patterns will also increase the risk of damage to the business activities of the Mitsui Fudosan Group. Symbol:	Not Climate Event
Input: The Bank will also use the scenarios and results from the 2021 BES to assess any vulnerabilities it may face on its own balance sheet. This will build on the work done to analyse the exposure of the Bank's investment portfolios to the risks from climate change, which are set out in Chapter 4. Symbol: Not Climate Event Input: If Philips is unable to ensure effective supply chain management, e.g. facing an interruption of its supply chain, including the inability of third parties to deliver parts, components and services on time, and if it is subject to rising raw material prices, it may be unable to sustain its competitiveness in its markets. Symbol: Climate Event Input: Compliance risk Compliance risk is the risk of failure to comply with applicable rules and regulations, and in so doing, exposing the group to penalties and reputational damage. Penalties received or due for non-compliance are an example of this risk. As a leading financial services group, the group faces complex challenges to ensure that its activities comply with local legislation, regulations and supervisory requirements and the relevant international standards and requirements. Symbol: Climate Event Input: We aim to promote equal opportunities by inspiring underrepresented groups to take up STEM fields by exposing them to aviation employment options and opportunities. By fueling the pipeline today through our support of educational initiatives and STEM programs, we will help to ensure more diverse perspectives in the hangars and boardrooms of the future. Symbol: Climate Event Input: We meet the financing needs of our customers with a broad and modern product range. The focus of the portfolio is on traditional owner-occupied home financing and the financing of real estate capital investments (residential mortgage loans and investment properties with a total EaD of €61bn). We provide our business customers with credit in the form of individual loans with a volume of €14bn. In addition, we meet our customers’ day-to-day demand for credit with consumer loans (consumer and instalment loans, credit cards to a total of €10bn). Symbol: Climate Event Input: Investors are seeking a better understanding of how climate change may impact the company’s business over the short, medium and long term. They also want to know about the company’s planned response, including how it may need to change its strategy. However, according to EY’s July 2020 report ‘How will ESG performance shape your future?’, based on a global institutional investor survey, companies are failing to meet investors’ expectations on environmental, social and governance factors when compared with 2018. Symbol: Not Climate Event Input: However, while any of these factors may lead to commencement of Engagement, we have decided to particularly focus on companies in relation to which we have particular ESG-related concerns, or which do not publish adequate environmental information, or which are ‘laggards’ with regard to a commitment to address climate change issues. Symbol: Not Climate Event Input: Sasol promotes effective management and achievement of climate-related targets and objectives through appropriate performance incentives. With the exception of Mining employees below management levels who participate in production bonus plans, short-term incentives are distributed through the single short-term incentive (STI) structure, which applies to all other employees globally. Corporate performance targets are set in relation to the long-term incentive plan and are measured over a period of 3 years. Symbol: Not Climate Event Input: Emission sources not reported This section of the report details the emission sources that we have not reported on and provides the reasons behind our decisions. Only some of the offices we operate directly make use of gas and we have included this in our emissions from combustion of fuel. We do not have distinct data on heat/steam for our other offices as this is most likely embedded in the office service charges that we pay. As a result, we have not currently reported on purchased heat or steam. In future we will devise a methodology to estimate the emissions associated with heating requirements that we are responsible for. Symbol:	Not Climate Event
Input: Reputation Risk: This is the risk of loss of credibility due to internal or external factors and is often related to, or results from, other categories of risk. This risk can arise from our internal business practices or those of our business partners or the companies in which we invest. Business partners include third parties hired to perform some of our administrative functions as well as investment organizations with which we have a contractual arrangement. A loss of reputation could impact our position as a partner, investor and employer of choice and impede our ability to execute our strategy. Symbol: Climate Event Input: Economic and financial results in the four-year plan: the adjusted operating profit expected at €0.9 billion in 2021; cumulated free cash flow at €2.1 billion in 2018-2021. ● Reducing refining break-even margin at approximately 3 $/barrel by the end of 2018. ● Completion of the Gela conversion in biorefinery and the development of the second phase of the Venice biorefinery. ● Strengthening of marketing activities in countries of presence. ● Focus on digitalization to optimize operations and enhance efficiencies. Symbol: Climate Event Input: One of the commitments we assume in our Sustainability Plan is to invest a total of R$ 350 million in network automation by 2024. This will allow us to achieve significant reductions in supply interruptions and in dispatching teams on maintenance calls, benefiting customers with better quality and speed, at the same time that we reduce the environmental impacts of vehicle use and fuel consumption. Symbol: Not Climate Event Input: In the 2019 nancial year, the Group announced two portfolio transition commitments: - Supporting current coal-red power generation customers implementing transition pathways aligned with Paris Agreement goals of 45% reduction in emissions by 2030 and net zero emissions by 2050. Symbol: Not Climate Event Input: JetBlue's workforce is broadly diversified among several job classifications, with Airport Operations crewmembers as the largest group at 31.3%. Nearly all (99.2%) of JetBlue's workforce is based in the United States. For more information on our workforce and crewmembers, see page 39. (TR0201-05) Symbol: Climate Event Input: Å Our commitment for renewable energy to comprise at least 20% of our energy portfolio in 2022 with the help of our Energy Transition Fund. This fund focuses on investment opportunities in projects and companies that are helping to accelerate the energy transition and has scope to grow to over EUR 200 million; Symbol: Not Climate Event Input: Risks—Transition Risks and Physical Risks Clients to whom MUFG has provided credits may be exposed to risks arising in the course of the transition to a low-carbon society, such as stricter regulation and the introduction of low-carbon technologies (transition risks). They can also be exposed to risks arising from physical damage due to the growing occurrences of climate change-induced natural disasters and abnormal weather (physical risks). If these risks were to impact the clients’ businesses or financial conditions, MUFG’s credit portfolio would also be exposed to substantial risks. Symbol: Not Climate Event Input: Given how essential bonds are to the global economy — as a source of risk management and returns for investors, as a source of capital for companies and governments — the lack of structural innovations to the bond market for many years was surprising. For decades, bond markets largely stayed the same. And in fact, investing in bonds became more difficult following the global financial crisis, as greater regulatory oversight and capital restrictions significantly reduced banks’ balance sheets and as a result, bond inventories. Symbol: Climate Event Input: F rom an investor’s perspective, climate change entails both physical and transition risks, which have an impact on the value of investments. Physical risks are divided into acute and chronic risks, which refer to the challenges that climate change poses to companies and society, such as unexpected damage caused by extreme weather events or the depletion of natural resources in the longer term. Transition risks refer to changes, for example, in regulation, technology and consumer behaviour that the transition to a lower-carbon economy entails. Symbol:	Not Climate Event
Input: JetBlue's workforce is broadly diversified among several job classifications, with Airport Operations crewmembers as the largest group at 31.3%. Nearly all (99.2%) of JetBlue's workforce is based in the United States. For more information on our workforce and crewmembers, see page 39. (TR0201-05) Symbol: Climate Event Input: Supporting the Low-Carbon Transition Our business units are on pace to meet our commitment to mobilize $250 billion to support low-carbon solutions by 2030. They are building expertise, supported by GSF and the Institute for Sustainable Investing, to serve our clients' growing interest in Environmental, Social, and Governance issues and in climate change specifically. Survey data from the Institute suggests rapidly accelerating interest in climate-focused solutions among asset managers, asset owners and individual investors. In response, we are developing accessible new products, such as Morgan Stanley Impact Quotient (see page 15). Our early work in 2013 in scaling green- bond financing has catalyzed new opportunities and continues to drive sector innovation in green and sustainable bonds. Symbol: Not Climate Event Input: £3 billion (20 per cent) of the Group’s revenue and our customer facing channels to market are mentioned on page 24. Additional technology investments are aimed at improving execution and efficiency in all areas of our business from warehousing, fleet, inventory and customer relationship management to back-office human resources and financial management and reporting systems. Symbol: Climate Event Input: Cornwall’s energy ambitions At the end of 2016, we announced a £19 million local energy market trial in Cornwall, UK. The three-year trial will test how flexible demand, generation and storage can reduce pressure on the electricity grid, enable the growth of renewables and avoid expensive network upgrades. Since then, over 300 homes and businesses registered to get involved and in 2017, we welcomed our first business to the trial – a working farm and holiday retreat. Pioneering battery storage technology was installed to help them better manage the energy generated by their solar panels. In 2018, we expect to roll-out storage and solar panels in 100 homes and commence larger installations of storage, renewables and distributed generation across 15 businesses. Symbol: Not Climate Event Input: The types of events that give rise to reputation risk are broad and could be introduced in various ways, including by the Firm’s employees and the clients, customers and counterparties with which the Firm does business. These events could result in financial losses, litigation and regulatory fines, as well as other damages to the Firm. As reputation risk is inherently difficult to identify, manage, and quantify, an independent reputation risk management governance function is critical. Symbol: Climate Event Input: In 2019, we: - incorporated conduct risk management into our risk culture framework and stepped up risk culture communication efforts Group-wide, with an emphasis on the Tone from the Top and Tone from Above; - implemented a risk culture dashboard to provide regular updates to the Board and senior management; - introduced measures to assess the results of the various risk culture initiatives, including feedback from senior management committees and an annual self-assessment exercise for key business and support units. We also included more questions on risk culture in the Bank's Employee Engagement Survey. UOB is also a member of the Culture and Conduct Steering Committee, established by the Monetary Authority of Singapore (MAS) and the Association of Banks in Singapore (ABS) to promote sound culture and to raise conduct standards among banks in Singapore; - benchmarked our Three Lines of Defence (3LOD) framework against industry best practices to strengthen our current approach further. We also established a new 3LOD Working Group to drive and to implement identified key initiatives, which aim to define ownership for new areas of risks, to harmonise risk management and controls across the 3LOD, to integrate the assurance methodology and to create a single robust governance, risk and compliance reporting framework; - replaced the Value-at-Risk (VaR) measure with Expected Shortfall (ES) limits monitoring. The latter takes into account the spread of the tail losses in the process of historical simulation and can provide a more accurate picture of risk and capture large movements in the event of financial market stress, which the VaR measure was unable to do. We also enhanced our Market Risk Aggregation Limits system to automate fully the market risk limits monitoring for all market risk asset types and limits; and - tightened our Responsible Financing Policy in relation to the financing of carbon-intensive sectors in recognition of the rising threat posed by climate change. We established a Taskforce on Climate-related Financial Disclosures (TCFD) Working Group to oversee and to drive the adoption of the Task Force on Climate-related Financial Disclosures recommendations. We endeavour to build our capability on climate risk management and stress-testing through active engagement with regulators, industry associations and climate specialists. We also maintained a strong focus on our capacity-building efforts, of which a key initiative was the successful roll-out of the ABS e-learning module on responsible finance to our colleagues in Singapore. Symbol: Not Climate Event Input: - - A new loan or a subsequent decision for an existing loan is then approved depending on the extent of the risk ('risk exposure') by the relevant decision-making level (Senior Manager, Vice President, Team Head, Head of Division or Head of Department, Group Credit Risk Committee, entire Executive Board, Board of Supervisory Directors). Symbol: Climate Event Input: Our actions resulted in one-off additional costs of around £80 million, which has further improved the high level of resilience we have already embedded into our service. For example, our investment in ASVs has been critical to improving our water service, an efficient way of helping to keep customers supplied during planned and unplanned interruptions. Symbol: Not Climate Event Input: While we support well-designed carbon pricing, we’re prepared to oppose poorly designed proposals. For example, we opposed the ballot initiative to introduce a carbon fee in Washington State, US in November 2018. We believed that the policy was badly designed and would have harmed Washington’s economy without significantly reducing carbon emissions. The ballot was not passed. Symbol:	Not Climate Event
Input: The Fund updated the guidelines for its $1.5 billion Sustainable Investment Program (SIP), defining sustainable investing for the Fund and enumerating criteria, including best-in-class managers and strategies that identify macro trends or themes, such as Climate and Environment, Human Rights & Social Inclusion and Economic Development. All SIP investments will be held to the same investment criteria as all of the Fund’s other investments. Symbol: Not Climate Event Input: Reinvestment in the business In 2019, CN spent approximately $3.9 billion in its capital program, with $1.6 billion invested to maintain the safety and integrity of the network, particularly track infrastructure. CN's capital spending also included $1.2 billion on strategic initiatives to increase capacity, enable growth and improve network resiliency, including line capacity upgrades and information technology initiatives, $0.9 billion on equipment capital expenditures, including the acquisition of 154 new high-horsepower locomotives and 560 new grain hopper cars, and $0.2 billion on implementation of Positive Train Control (PTC), the safety technology system mandated by the U.S. Congress. Symbol: Climate Event Input: Ensuring our business is resilient to long-term supply and demand requirements is a stretching target but critical to fulfil our customers’ needs. Climate change is a major challenge to our business that can impact our assets and service to our customers. We operate in the driest region of the UK, classed as ‘water stressed’ by the Environment Agency, and our low-lying landscape makes us particularly vulnerable to localised flooding during severe weather events. We see the inherent risk continuing to increase for the business, with the effects of climate change, customer demand and environmental challenges, hence an Amber status. Symbol: Not Climate Event Input: In addition, many of the project’s end-customers are large entities with wide ranging activities. A climate related event in a non-related part of the business could have a material adverse impact on the financial strength of such end-customer and their ability to honor their contractual obligations which could negatively impact on revenue and the cash flow of the project and our business. Symbol: Not Climate Event Input: By their very nature, these forward-looking statements require assumptions to be made and involve inherent risks and uncertainties, both general and specific. Assumptions about the performance of the Canadian and U.S. economies in 2020, including in the context of the COVID-19 pandemic, and how that affect the Bank's business are among the main factors considered in setting the Bank's strategic priorities and objectives. Symbol: Climate Event Input: Transportation infrastructure for electric mobility is the focus of IFC’s $8 million investment in Lithium, India’s first electric fleet operator company. The project will provide job opportunities for up to 8,000 drivers over five years. This is IFC’s inaugural investment in electric mobility. The project supports electrification of transportation, which will help avoid annual greenhouse emissions of more than 25,000 metric tons per year. Symbol: Not Climate Event Input: In our outlook for impacts on our clients' business, we employed two scenarios: a static scenario which assumes that no attempt is made to transform the present business structure, and a dynamic scenario under which the business structure is transformed. Symbol: Climate Event Input: The quantitative investment strategies focus mainly on stock picking based on quality and valuation. It is precisely these strategies, which yield long-term value and are suitable for large portfolios, that tend to perform poorly in a context of highly accommodative central bank monetary policies. In 2019, all major quantitative investment styles performed poorly; stock picking based on valuation and quality and stock picking based on recent price trends both yielded negative returns. This combination is seldom seen. Symbol: Climate Event Input: Laws, regulations, policies, obligations, social attitudes and customer preferences relating to climate change and the transition to a lower carbon economy could have an adverse impact on our business (including increased costs from compliance, litigation, and regulatory or litigation outcomes), and could lead to constraints on production and supply and access to new reserves and a decline in demand for certain products. Symbol:	Not Climate Event
Input: IFC Catalyst Fund: The $418 million IFC Catalyst Fund was launched in 2012 and invests in funds that provide growth capital to companies developing innovative ways to address climate change in emerging markets. It also may invest directly in those companies. As of June 30, 2020, the fund had made 22 commitments totaling $386 million. Symbol: Not Climate Event Input: Our new policy measures outlined on page 1 will play a key role in shaping our portfolio over the coming years and help ensure we stay on track to meet our longer term goal. Symbol: Climate Event Input: On 24 July 2019, we entered into two new senior debt facilities agreements, a £375 million private placement with infrastructure lenders with maturities between 2024 and 2029, and a £125 million ESG facility agreement that matures in 2022. The ESG facility includes a mechanism that adjusts the margin based on carbon emissions against an annual benchmark. Symbol: Not Climate Event Input: Thabametsi and Khanyisa. In its 2017 Environmental and social risk report, the Company said that it was “concerned about climate change and the risks it poses for Africa, clients and their businesses,” but argued that developing nations and financial institutions face a dilemma in terms of balancing climate change against the “need to support economic growth and the energy supply that underpins it”6 FirstRand does not describe how it manages this “dilemma” in its financing decision-making processes. Symbol: Not Climate Event Input: Based on these market developments, we continue to focus on policy and legal risks, as well as technology risks, as we mainly expect changes within these two dimensions to potentially impact asset values. In this way, we aim to capture those industries and groups of companies that are most exposed to these risks and may therefore require adjustments in the near to medium term. Symbol: Climate Event Input: If we are unable to attract and retain qualified personnel or fail to maintain our company culture, our business could be harmed. We compete against other major U.S. airlines for pilots, mechanics, and other skilled labor; some of them offer wage and benefit packages exceeding ours. As more pilots in the industry approach mandatory retirement age, the U.S. airline industry may be affected by a pilot shortage. We may be required to increase wages and/or benefits in order to attract and retain qualified personnel or risk considerable crewmember turnover. If we are unable to hire, train, and retain qualified crewmembers, our business could be harmed and we may be unable to implement our growth plans. Symbol: Climate Event Input: Developments in these and other external factors may affect customers’ use of EVs and, therefore, our EV transition goals. These may have a material adverse effect on the market prices of certain vehicle types in certain jurisdictions, which in turn could have a material adverse effect on our business, financial condition and results of operations. Sudden changes in the market can also make it harder for LeasePlan to have the right resources, people and stock in place to meet demand. Symbol: Not Climate Event Input: This transition does not, however, automatically translate into a financial risk for us. For example, motor insurance is the most important business line of the re/insurance sector globally. According to Swiss Re's sigma database, it currently represents approximately 33% of global non-life gross written premiums and is expected to grow further, albeit at a lower rate. Symbol: Climate Event Input: Furthermore, similar to upstream PP&E assets discussed above, E&A assets are also potentially exposed to climate change and the global energy transition. A greater number of projects may be expected not to proceed as a consequence of lower forecast future demand, lower appetite by management and the board to allocate capital to certain projects, or increased objections from stakeholders to the development of certain projects. In response, management has updated its internal controls over its IFRS 6 assessment to reflect the potential impact that climate change and the energy transition may have on E&A assets. Symbol:	Not Climate Event
Input: As our activities advance, the metrics and targets we use to monitor our success will likely evolve as well. Through our participation in industry groups, we intend to continue developing appropriate metrics that can be adopted consistently by financial institutions to provide comparable, decision-useful information to investors. Symbol: Climate Event Input: The cost of the loan is associated with a Greenhouse gas emissions reduc- tion target of 1 million metric tons by 2025; o another $750 million SLL was syndicated for Finnish forest industry company UMP. Symbol: Not Climate Event Input: In order to finance the entire investment volume of around €6 billion, divestitures amounting to €1.7 billion are planned in the years 2018 to 2020. This includes divestitures in the onshore sector, which will build on our already realised participation models. The remaining divestitures will involve the sale of property, the receipt of construction cost subsidies and the disposal of subsidiaries. Symbol: Not Climate Event Input: The types of events that give rise to reputation risk are broad and could be introduced in various ways, including by the Firm’s employees and the clients, customers and counterparties with which the Firm does business. These events could result in financial losses, litigation and regulatory fines, as well as other damages to the Firm. As reputation risk is inherently difficult to identify, manage, and quantify, an independent reputation risk management governance function is critical. Symbol: Climate Event Input: Investors are seeking a better understanding of how climate change may impact the company’s business over the short, medium and long term. They also want to know about the company’s planned response, including how it may need to change its strategy. However, according to EY’s July 2020 report ‘How will ESG performance shape your future?’, based on a global institutional investor survey, companies are failing to meet investors’ expectations on environmental, social and governance factors when compared with 2018. Symbol: Not Climate Event Input: Thus, the Board of Directors, upon recommendation of its Compensation & Governance Committee, and following a comparative review of national, European and industry practices, decided to maintain unchanged, for 2018, the Chief Executive Off icer’s target annual variable compensation, at €1.45 million, i.e. 100% of the amount of his annual fixed compensation. Symbol: Climate Event Input: We also invested in solar power generation with a £57 million long-term debt financing agreement to support Hermes Infrastructure, which provides solar photovoltaic systems for over 9,000 residential homes across the UK. This is a great example of how, across the group, we are seeking opportunities to address climate change and required energy transition. Symbol: Not Climate Event Input: In addition, we have been gradually introducing RPA, which uses robots to automate a series of tasks previously performed by employees, resulting in a reduction in work hours of approximately 300,000 hours in the fiscal year ended March 31, 2020. Going forward, we will continue to promote automation and labor savings in data input operations to improve administrative efficiency. Symbol: Climate Event Input: Reputational risk In 2019 and in recent years, there has continued to be a range of material risk events such as service outages and data compromises in the market. These impact the reputation of the financial services industry as a whole and potentially threaten consumer confidence in both the reliability of services and the safety of their data and savings. Symbol:	Climate Event
Input: - - A new loan or a subsequent decision for an existing loan is then approved depending on the extent of the risk ('risk exposure') by the relevant decision-making level (Senior Manager, Vice President, Team Head, Head of Division or Head of Department, Group Credit Risk Committee, entire Executive Board, Board of Supervisory Directors). Symbol: Climate Event Input: Based on these metrics, BNP Paribas set interme- diate targets for itself. The long-term ambition is clear (to align its businesses with the Paris Agree- ment goals), but to achieve that ambition calls for short and medium-term targets in more specific bu- siness lines, allowing the Group to steer its various business operations with greater precision. Symbol: Not Climate Event Input: Launched by Bill Gates during the Conference of the Parties - Climate Change 21 conference, the coalition combines innovative re- search funded by public-private partnerships; - BNP Paribas helped draft the Charter for Engagement 'Women leading climate action', of the Women's Forum, a charter that has now been signed by nearly 400 corporations, opinion leaders and other organisations. Symbol: Not Climate Event Input: These sector-specific policies are usually developed by the AI taking into account relevant industry certification schemes, international practices, its strategy, level of exposure to the particular sector, and even its engagement with customers, industry experts, shareholders and the community. Symbol: Climate Event Input: A material portion of this network is still relatively immature and there are risks that may develop over time. For example, it is possible that branches may not be able to sustain the level of revenue or profitability that they currently achieve (or that it is forecasted that they will achieve). Symbol: Climate Event Input: Compliance Risk Management Compliance risk (a type of operational risk) is the risk resulting from the failure to comply with laws (legislation, regulations and rules) and regulatory guidance, and the failure to appropriately address associated impacts, including to customers. Compliance risk encompasses violations of applicable internal policies, program requirements, procedures, and standards related to ethical principles applicable to the banking industry. Symbol: Climate Event Input: Investors are seeking a better understanding of how climate change may impact the company’s business over the short, medium and long term. They also want to know about the company’s planned response, including how it may need to change its strategy. However, according to EY’s July 2020 report ‘How will ESG performance shape your future?’, based on a global institutional investor survey, companies are failing to meet investors’ expectations on environmental, social and governance factors when compared with 2018. Symbol: Not Climate Event Input: We emit greenhouse gases both directly and indirectly. Our direct (Scope 1) emissions come from our industrial businesses, including the use of natural gas and diesel, and fugitive emissions from coal mining. Our main source of indirect (Scope 2) emissions is electricity used by our operations. We also estimate our Scope 3 emissions, which are other indirect emissions that occur as a result of our operations (e.g. employee air travel), but are not controlled by us. Symbol: Not Climate Event Input: During 2018/19 we were informed of plans to carry out a wholesale review of the permitting for biowaste, which is a future challenge for the business. We also face areas of uncertainty about the storage of biosolids and the potential impacts of the Industrial Emissions Directive. These have the potential to impact us significantly. Symbol:	Not Climate Event
Input: Uncertainty around the evolution of the wholesale market design, given the current challenges: • Marginal remuneration system not adjusted to the current context of growing penetration of fixed cost technologies (renewables, backup, storage). • Growing penetration of technologies with 0 marginal cost (reducing prices and increasing prices’ volatility). • Uncertainty around the returns of the conventional generation, in particular as backup capacity (relevant in a perspective of ensuring security of supply). • Volatile context, not suitable for long-term investments necessary to the modernization, decarbonization and security of supply. Symbol: Not Climate Event Input: Limitations and uncertainties This analysis is based on best available information. However, it is unable to overcome some important limitations and uncertainties. For example, climate change simulations currently have minimal ability to model extreme weather events. Similarly, agricultural impact models need to be further developed to test the bounds at which statistical relationships change. Symbol: Not Climate Event Input: £3 billion (20 per cent) of the Group’s revenue and our customer facing channels to market are mentioned on page 24. Additional technology investments are aimed at improving execution and efficiency in all areas of our business from warehousing, fleet, inventory and customer relationship management to back-office human resources and financial management and reporting systems. Symbol: Climate Event Input: Across all our businesses our plans include targets and commitments to manage our own environmental impact, with £530 million of investment planned across Electricity and Gas Transmission. We have committed to reducing NOx emissions from our gas compressors, and achieving net zero construction emissions by 2025/26. We are targeting investments to replace leaking SF6 (an insulating gas and source of GHG emissions) equipment to reduce emissions by 50% by 2030, phasing out the procurement of new assets containing SF6 and introducing SF6 free technologies. Symbol: Not Climate Event Input: Financial losses stemming from climate-related factors adversely impacting the capital value of securities held within the Investment Vehicle portfolio and/or the ability of those companies whose securities are held to meet their financial obligations thereunder. Reputational damage stemming from the Company’s association with companies whose securities are held within the Investment Vehicle portfolio and whose ESG policies, activities or disclosures fail to meet the standards expected by stakeholders. Symbol: Not Climate Event Input: 14 those related to our products and services, demand and distribution, financial performance, credit rating and debt obligations. Given that developments concerning the COVID-19 pandemic have been constantly evolving, additional impacts and risks may arise that we are not aware of or able to appropriately respond to at this time. Symbol: Climate Event Input: JetBlue's workforce is broadly diversified among several job classifications, with Airport Operations crewmembers as the largest group at 31.3%. Nearly all (99.2%) of JetBlue's workforce is based in the United States. For more information on our workforce and crewmembers, see page 39. (TR0201-05) Symbol: Climate Event Input: These sector-specific policies are usually developed by the AI taking into account relevant industry certification schemes, international practices, its strategy, level of exposure to the particular sector, and even its engagement with customers, industry experts, shareholders and the community. Symbol: Climate Event Input: Physical risks from climate change arise from a number of factors and relate to specific weather events and longer-term shifts in the climate. The nature and timing of extreme weather events are uncertain but they are increasing in frequency and their impact on the economy is predicted to be more acute in the future. The potential impact on the economy includes, but is not limited to, lower GDP growth, higher unemployment and significant changes in asset prices and profitability of industries. Damage to the properties and operations of borrowers could impair asset values and the creditworthiness of customers leading to increased default rates, delinquencies, write-offs and impairment charges in the Barclays Bank Group’s portfolios. In addition, the Barclays Bank Group’s premises and resilience may also suffer physical damage due to weather events leading to increased costs for the Barclays Bank Group. Symbol:	Not Climate Event
Input: Our offerings are designed to meet the specific needs of IFC clients in different industries — with a special focus on infrastructure, manufacturing, agribusiness, services, and financial markets. In FY18, we made $11.6 billion in long-term investments in 366 projects. In addition, we mobilized nearly $11.7 billion to support the private sector in developing countries. Symbol: Climate Event Input: An additional advantage of these programs is increased pilot diversity, something the industry currently lacks (see 'Case Study: JetBlue Foundation'). Across all of our above mentioned programs, 7% of pilots are women, almost double the national average for airline transport. In Gateway Select, 20% of the pilots in our program are from underrepresented groups, about five times the national average. Symbol: Climate Event Input: The Finnish Meteorological Institute (FMI) has issued a report helping UPM to predict the future physical long-term impacts of climate change on its business in Finland, Uruguay, Southern Germany and Eastern China. The Institute incorporated three alternative emission scenarios in the report. The biggest risks in the company's business are related to more frequent and severe extreme weather conditions such as heavy rainfall, storms and drought. Symbol: Not Climate Event Input: The main impacts of the 4ºC scenario were: • Physical ramifications of climate change: in this scenario we expect extreme weather events of escalating severity and frequency, which could increase disruption to our assets and our customers. This would require investment to ‘harden’ assets and would heighten the safety risk to our field employees. Our approach to physical climate risk is discussed in more detail below. • Lower system visibility: as this scenario sees less coordinated policy and regulation in pursuit of decarbonisation, we would anticipate a greater variety of solutions being deployed across our networks. This could increase overall system costs and reduce visibility over the network, potentially slowing our responsiveness to disruptive events. We do note, however, that a greater number of distributed assets would increase the potential for local balancing, which could mitigate this. • Inequality of access: without carefully designed policy, we believe decarbonisation activities have the potential to leave some sectors of society behind: for example, heat pumps and the energy efficiency upgrades they typically require are currently cost-prohibitive for many. As well as the ethical implications of this, there is a risk to the Group, especially for our US businesses, that a proportion of our customers would struggle to pay their bills. Symbol: Not Climate Event Input: The risk of credit loss or non-financial risks, such as reputational damage, arising from environmental, social and governance (ESG) issues, including climate change. While a key component of ESG risk arises indirectly from the financial services we provide to our customers, it can also result directly from our own operations. Symbol: Not Climate Event Input: Failure to comply and adapt to climate related matters is also a significant reputation risk which could result in e.g. lack of tenant interest, higher cost of capital in the financial market, and lack of ability to attract or retain talent. Also, not handling the company’s corporate social responsibilities in an informed and good matter is a reputation risk, whereas the opposite is an opportunity. Symbol: Not Climate Event Input: IAG is exposed to multiple risks relating to its businesses and pursuit of its strategic objectives. The risks noted below are not exhaustive, but outline the material risks faced by the Group as identified in the RMS:  strategic risk – the risk that internal or external factors compromise our ability to execute our strategic objectives or our strategy; Symbol: Climate Event Input: It is essential that risk assessment and risk-informed decision-making is integrated across all levels of our organization - from the board of directors through oversight of the risk management policy and program to executive leadership through the Risk Management Committee and to business operations. Symbol: Climate Event Input: In addition, the impacts of physical and transition climate risks can lead to second order connected risks, which have the potential to affect the Barclays Bank Group’s retail and wholesale portfolios. The impacts of climate change may increase losses for those sectors sensitive to the effects of physical and transition risks. Any subsequent increase in defaults and rising unemployment could create recessionary pressures, which may lead to wider deterioration in the creditworthiness of the Barclays Bank Group’s clients, higher ECLs, and increased charge-offs and defaults among retail customers. Symbol:	Not Climate Event
Input: Reputational risk In 2019 and in recent years, there has continued to be a range of material risk events such as service outages and data compromises in the market. These impact the reputation of the financial services industry as a whole and potentially threaten consumer confidence in both the reliability of services and the safety of their data and savings. Symbol: Climate Event Input: In 2019, with a focus on its financing portfolio(2), EDC set a target to reduce its exposure to the most carbon intensive sectors by 15 per cent over five years against a December 31, 2018 baseline. As a result of this reduction, the carbon intensive exposure of EDC’s financing portfolio at December 31, 2023 is targeted to reduce to $18.9 billion(3), a decrease of approximately $3.3 billion over the five-year period. Symbol: Not Climate Event Input: However, in France, employees are involved in the Bank's long-term development through profit-sharing and/or incentive schemes. They are linked to the Company's overall performance (financial and non-financial) and regulated by Societe Generale agreements signed with the trade unions every three years. For Societe Generale SA in France, out of the total amount of profit-sharing and incentives paid in 2018 for the financial year 2017, 4% was relating to Symbol: Climate Event Input: NEW SOLUTIONS FOR SUSTAINABLE MOBILITY In addition to the research projects already mentioned on biofuels and hydrogen, Eni is investing in new fuels produced from waste: in this area a project is currently being assessed at the Livorno Re- finery involving production of methanol by high temperature gasification with oxygen of solid urban waste, made up of non-recyclable plastic waste (Plasmix, a mix of plastics not currently recyclable and SSF, Secondary Solid Fuel). The process is based on production of a synthetic gas from carbon-based material. The synthetic gas produced in this way is first purified so that it can subsequently be used to synthesise methanol or to produce pure hydrogen. Methanol produced using waste as a raw material could be considered as a Recycled Carbon Fuel, as provided for by the RED II European directive on renewable energy, and therefore assimilable to a biofuel. It can be used in petrols by transformation into MTBE, or mixed with experimental high alcohol content petrols together with bioethanol (A20 pet- rol). A new fuel, A20, based on a mix containing 15% methanol and 5% bioethanol has been developed with the FCA Group and subjected to a 13-month test in which five Fiat 500s of the Enjoy fleet travelled about 50,000 km, when rented out for a total of 9,000 times, without encountering any problems. A Waste to Fuel technology has also been developed that is able to convert the organic fraction of solid municipal waste (OFMSW) into bio-oil (see box on p. 39 of Eni for 2019 - A just transition). Symbol: Not Climate Event Input: The process is continuous and dynamic and provides for the following sub-processes: (i) risk governance, methods and tools, (ii) risk strategy, (iii) integrated risk management, (iv) risk knowledge, training and communication. Symbol: Climate Event Input: In Pakistan, where millions remain cut off from the national grid, we invested $125 million in China Three Gorges South Asia to support a series of privately owned hydro, solar, and wind projects. Once operational, they are expected to provide electricity to more than 11 million people and boost the country’s generation capacity by 15 percent. Symbol: Not Climate Event Input: Under harsher public scrutiny, investors are being asked to refrain from investing in companies that are not environmentally friendly. Some investors have decided not to make new investments in coal-fired thermal power. As an energy provider and a company that is needed by its stakeholders, we must seriously undertake sustainable management. Symbol: Not Climate Event Input: In our outlook for impacts on our clients' business, we employed two scenarios: a static scenario which assumes that no attempt is made to transform the present business structure, and a dynamic scenario under which the business structure is transformed. Symbol: Climate Event Input: If the Barclays Bank Group does not adequately embed risks associated with climate change into its risk framework to appropriately measure, manage and disclose the various financial and operational risks it faces as a result of climate change, or fails to adapt its strategy and business model to the changing regulatory requirements and market expectations on a timely basis, it may have a material and adverse impact on the Barclays Bank Group’s level of business growth, competitiveness, profitability, capital requirements, cost of funding, and financial condition. Symbol:	Not Climate Event
Input: BlackRock offers a range of investment strategies that incorporate environmental or social considerations, and currently manages more than $225 billion in strategies designed to align clients’ portfolios with their social and environmental objectives and values, including recent launches like CRBN, our Low Carbon iShares ETF. And, this year, BlackRock has unified its approach to elevate investing through the launch of BlackRock Impact, a dedicated platform that enables investors to target specific, measurable social or environmental objectives in addition to their financial goals. Symbol: Not Climate Event Input: There is an increased focus by foreign, federal, state and local regulatory and legislative bodies regarding environmental policies relating to climate change, regulating greenhouse gas emissions, energy policies and sustainability, including single use plastics. This new or increased focus may result in new or increased laws and regulations that could cause significant increases in our costs of operation and delivery. In particular, increasing regulation of fuel emissions could substantially increase the distribution and supply chain costs associated with our products. Lastly, consumers and customers may put an increased priority on purchasing products that are sustainably grown and made, requiring us to incur increased costs for additional transparency, due diligence and reporting. As a result, climate change could negatively affect our business and operations. Symbol: Not Climate Event Input: Additional climate variables and related environmental stressors are known to affect production but were assessed more broadly due to data and evidence limitations. These parameters include fire, cyclones, sea level rise, pests and diseases. As a result, our modelling of physical climate risk may understate the potential impact of climate change. Symbol: Not Climate Event Input: This figure included €153 million worth of assets in the Artemis office portfolio which comprises 33 assets, covering 360,000 sqm, in five different European countries. Over the rest of the portfolio, a further €255 million of assets are contracted and currently in the process of being onboarded during the first half of this year and will add to AUM during FY18. Symbol: Climate Event Input: Compliance Risk Management Compliance risk (a type of operational risk) is the risk resulting from the failure to comply with laws (legislation, regulations and rules) and regulatory guidance, and the failure to appropriately address associated impacts, including to customers. Compliance risk encompasses violations of applicable internal policies, program requirements, procedures, and standards related to ethical principles applicable to the banking industry. Symbol: Climate Event Input: Initial insights The majority of the residential properties in our portfolio have a very low probability of experiencing damage from flooding or drought in the next 30 years. A relatively small number of properties, however, have a high probability of experiencing damage from flooding or drought in that period. Therefore, the impact on an individual household may be significant, even more so if the quality of the property is already low or the household’s response capacity is low (e.g. insufficient wealth or mortgage headroom). Nevertheless this initial analysis does not suggest a significant impact at either a portfolio or bank level. Symbol: Not Climate Event Input: The quantitative investment strategies focus mainly on stock picking based on quality and valuation. It is precisely these strategies, which yield long-term value and are suitable for large portfolios, that tend to perform poorly in a context of highly accommodative central bank monetary policies. In 2019, all major quantitative investment styles performed poorly; stock picking based on valuation and quality and stock picking based on recent price trends both yielded negative returns. This combination is seldom seen. Symbol: Climate Event Input: Risks are assessed at least annually. Please refer to Section 6.1 Our approach to risk management, 6.2 Risk categories and factors, 6.3 Strategic risks, 6.4 Operational risks, 6.5 Compliance risks, and 6.6 Financial risks. Symbol: Climate Event Input: Operational risks are inherent in the Barclays Bank Group’s business activities and it is not cost effective or possible to attempt to eliminate all operational risks. The Operational Risk Framework is therefore focused on identifying operational risks, assessing them and managing them within the Barclays Bank Group’s approved risk appetite. Symbol:	Climate Event
Input: BBVA is focusing on increasing its activity in telecommunications infrastructures, given the social importance they have as facilitators of access to new technologies ('narrowing the digital divide'), digitization and contribution to economic development: ADAMO: Acquisition by the Swedish fund EQT of the fastest growing independent fiber supplier in Spain, whose main focus is rural communities. Symbol: Climate Event Input: International political, social and economic risks Equinor has international interests located in regions where political, social and economic instability could adversely affect Equinor’s business. Equinor has assets and operations located in diverse regions globally where potentially negative economic, social, and political developments could occur. These political risks and security threats require continuous monitoring. Uncertainty exists around the UK`s exit from the EU and the potential market impact. Symbol: Climate Event Input: Scope 1 emissions come mostly from refrigerant leaks and to a lesser extent from stationary combustion in furnaces. Our Scope 3 emissions result primarily from the production of goods for sale, transportation of products, and waste generated in our operations. We use the GHG Protocol’s Corporate Value Chain methodology (Scope 3) to determine our reporting category. Symbol: Not Climate Event Input: The risk of credit loss or non-financial risks, such as reputational damage, arising from environmental, social and governance (ESG) issues, including climate change. While a key component of ESG risk arises indirectly from the financial services we provide to our customers, it can also result directly from our own operations. Symbol: Not Climate Event Input: Citi is focused on enabling progress in the communities in which we work and live. Together with companies, governments and institutions of all shapes, sizes, scale and scope, we lend, facilitate and invest in products and services that power the global economy. We also recognize that we can play an important role in working with others to address key social and economic challenges facing clients and communities. goal to lend, facilitate and invest $100 billion toward activities that reduce the impacts of climate change and create environmental solutions that benefit people and communities. Symbol: Not Climate Event Input: IAG is exposed to multiple risks relating to its businesses and pursuit of its strategic objectives. The risks noted below are not exhaustive, but outline the material risks faced by the Group as identified in the RMS:  strategic risk – the risk that internal or external factors compromise our ability to execute our strategic objectives or our strategy; Symbol: Climate Event Input: At the announcement of the business plan for the fiscal year ending March 31, 2020, as for investments and loans, we are setting the target at ¥2.1 trillion, which is within the three-year cumulative range announced already, and there is no change to our forecasts for asset recycling and shareholder returns. Symbol: Climate Event Input: Romania’s OMV Petrom SA. The project will result in considerable water savings and carbon emission reductions. In Georgia, meanwhile, a US$ 40 million (€33 million equivalent) loan was provided to support the expansion of gas filling stations that offer compressed natural gas (CNG), an environmentally friendly alternative to conventional fuels. Symbol: Not Climate Event Input: We have devoted significant resources to develop our risk management capabilities and expect to continue to do so in the future. Nonetheless, our risk management strategies, models and processes, including our use of various risk models for assessing market exposures and hedging strategies, stress testing and other analysis, may not be fully effective in mitigating our risk exposure in all market environments or against all types of risk, including risks that are unidentified or unanticipated. Symbol:	Climate Event
Input: We plan to achieve these targets through two key thrusts. 1. Reduce negative impact by reducing emissions; 2. Move towards a balanced portfolio of low-carbon energy assets by growing our renewables capacity Symbol: Not Climate Event Input: Reputation Risk: This is the risk of loss of credibility due to internal or external factors and is often related to, or results from, other categories of risk. This risk can arise from our internal business practices or those of our business partners or the companies in which we invest. Business partners include third parties hired to perform some of our administrative functions as well as investment organizations with which we have a contractual arrangement. A loss of reputation could impact our position as a partner, investor and employer of choice and impede our ability to execute our strategy. Symbol: Climate Event Input: This figure included €153 million worth of assets in the Artemis office portfolio which comprises 33 assets, covering 360,000 sqm, in five different European countries. Over the rest of the portfolio, a further €255 million of assets are contracted and currently in the process of being onboarded during the first half of this year and will add to AUM during FY18. Symbol: Climate Event Input: Based on this assessment, the directors have a reasonable expectation that the Group will be able to continue in operation, meet its liabilities as they fall due and raise financing as required over the period to December 2022. Symbol: Climate Event Input: – The Emu Downs Solar Farm is a 20MW solar farm, being built next to the Emu Downs Wind Farm site. Synergy, the Western Australian energy provider has entered into a 13-year offtake agreement for both the energy and the Large-scale Renewable Generation Certificates (LGCs), commencing January 2018. The estimated $50 million project will be partially funded with a $5.5 million grant from the Australian Renewable Energy Agency (ARENA). Symbol: Not Climate Event Input: Our Commitment to Transparency in Stewardship Given the growing interest in our stewardship efforts from clients and broader society, we have significantly increased investment stewardship disclosure in 2020, including: - BlackRock Investment Stewardship 2021 Global Principles and market- level voting guidelines: Sets out our stewardship philosophy and our views on corporate governance and sustainable business practices that support long-term value creation by companies. Our market level voting guidelines provide detail on how we implement the principles, taking into consideration local market standards and norms. Together they form the basis for our stewardship activities, including thought leadership, company engagement, and holding companies accountable by voting on management and shareholder proposals. - Our approach to sustainability: Special report on our approach to voting on climate risk and other sustainability topics. - Global quarterly stewardship reports: Case studies on individual engagements and data on the number of companies BIS engaged with during each quarter globally across a range of E, S, and G topics, including COVID-19 related issues. - Global vote disclosures: BIS' vote instructions for individual meetings globally. This record reflects votes at meetings held from July 1st through June 30th of the following year. It is updated quarterly until June 30th each year, when it is superseded by BlackRock's annual Form N-PX filing. - Vote bulletins: Vote bulletins describe our votes and rationales for key complex or high-profile votes. This has included bulletins on votes for more than 50 companies during the 2020 calendar year.31 - Enhanced client reporting: We implemented a new capability through Aladdin to deliver portfolio-specific company engagement reports for our clients. Symbol: Not Climate Event Input: Offsetting our emissions Australian Ethical offsets emissions by purchasing carbon credits in worthwhile projects. Emissions of 149.5 tCO2-e will be offset during FY15. Total emissions calculated include greenhouse gases emissions from energy and from travel. Projects that our carbon offset credits will assist are ‘Cookstove’ projects in Mali and Cambodia. The projects replace high polluting traditional cookstoves with fuel efficient stoves. Large volumes of wood and charcoal are required for the traditional cookstoves, which contribute to CO2 emissions from burning these fuels, but also increased desertification. The traditional stoves also contribute to indoor air pollution, which is linked to respiratory and eye diseases. Symbol: Not Climate Event Input: IAG is exposed to multiple risks relating to its general insurance business. The risks noted below are not meant to represent an exhaustive list, but outline the material risks faced by the Group as identified in the RMS:  strategic risk – the risk that internal or external factors compromise our ability to execute our strategic objectives or our strategy; Symbol: Climate Event Input: Scope 1 emissions come mostly from refrigerant leaks and to a lesser extent from stationary combustion in furnaces. Our Scope 3 emissions result primarily from the production of goods for sale, transportation of products, and waste generated in our operations. We use the GHG Protocol’s Corporate Value Chain methodology (Scope 3) to determine our reporting category. Symbol:	Not Climate Event
Input: The Group considers risk management to be the key point in the financing business. We are therefore establishing a specialized risk management system that includes risk assessment standards specific to asset types, portfolio management, and monitoring methods. Under this management system, we will prioritize increasing transaction diversification as a concrete method of increasing operating assets exceeding ¥100 billion over the coming three years. Symbol: Climate Event Input:  For asset management companies belonging to a Group (most of the tested sample), inadequate internal supervision of the services (relating to IT, cybersecurity and business continuity) performed by the parent company was identified. But the technical execution of these services by the Group cannot exempt asset management companies from their responsibilities regarding the definition (in priority) of the main risk areas and management of the relevant controls. Symbol: Climate Event Input: MELBOURNE BACKS BTR In June 2019, we entered into an agreement with developer PDG to deliver 490 purpose-built, BTR apartments as part of the $450 million Munro development in Melbourne’s CBD. The Munro development is a key project within the City of Melbourne’s $250 million renewal of the Queen Victoria Market precinct. Symbol: Climate Event Input: We also offer on-lending through the ABC Program (Low Carbon Agriculture), the agribusiness line from BNDES to finance projects reducing greenhouse gas emissions from agriculture, livestock and deforestation by expanding cultivated forests and recovering degraded areas. In 2015, we signed the amount of, approximately, R$15 million through this program. For more information, please visit: www.bndes.gov.br/apoio/abc.html. Symbol: Not Climate Event Input: The main credit risk the group faces is in relation to its Energy Efficiency Loan Scheme. This risk is actively managed with formal credit checking procedures at customer acquisition, and allowances for impairment are made where appropriate. Our bad debt provisioning policy is restricted to provide for loans in administration and where, in the opinion of management, recovery is not possible. Symbol: Not Climate Event Input: In April 2020, we announced our A$20 million Community Support Fund which is supporting our host communities with the challenges associated with the COVID-19 pandemic. Since launching the Fund, a number of health, livelihood and economic recovery initiatives have been funded such as a partnership with the University of Queensland to support COVID-19 vaccine research, a contribution to the cost of new lost-cost ventilators and partnering with international organisations to deliver medical supplies, equipment, infrastructure and services in Papua New Guinea. Symbol: Climate Event Input: EXAMPLES OF RISKS Resource scarcity, coupled with increasing demand, could affect production, availability, quality and cost of raw materials. Increased frequency of extreme weather events, from floods to droughts, could cause disruption in our supply chain and impact the sourcing of raw materials, as well as the production and distribution of finished goods. Increased regulation and more stringent environmental standards could impact our business by affecting production costs and flexibility of operations. Our industry is sustained by many agricultural and manufacturing communities around the world. Failure to support them in preserving key skills and building more sustainable livelihoods could cause social, economic and operational challenges, ranging from community tensions and disruption to production, to a reduced talent pool. Symbol: Not Climate Event Input: OPG’s total forecast capital expenditures for the 2018 year are approximately $2.1 billion. This includes amounts for the Darlington Refurbishment project, hydroelectric and other development projects including the Ranney Falls GS redevelopment and construction of the Nanticoke solar facility, and sustaining capital investments across the generating fleet. OPG’s major projects are discussed in the section, Project Excellence. Symbol: Not Climate Event Input: Disappointingly, the vast majority of companies only make generic references to emerging risks when describing their risk management processes. They provide little insight into whether existing risk management processes were sufficient to identify emerging risks or whether they had to flex or amend these processes to do so. They give little information about how emerging risks, once identified, are treated and monitored. Symbol:	Climate Event
Input: If Philips is unable to ensure effective supply chain management, e.g. facing an interruption of its supply chain, including the inability of third parties to deliver parts, components and services on time, and if it is subject to rising raw material prices, it may be unable to sustain its competitiveness in its markets. Symbol: Climate Event Input: Based on these market developments, we continue to focus on policy and legal risks, as well as technology risks, as we mainly expect changes within these two dimensions to potentially impact asset values. In this way, we aim to capture those industries and groups of companies that are most exposed to these risks and may therefore require adjustments in the near to medium term. Symbol: Climate Event Input: Operational risks Operational risks relate to the losses resulting from inadequate or failed internal processes, people and systems, or due to external events. These risks normally fall within our low-risk appetite level as there is no strategic benefit from accepting the risk and accepting that it is not in line with our vision and values. Symbol: Climate Event Input: Creating markets for certified green buildings IFC has identified an investment opportunity of almost $25 trillion for green buildings in emerging markets, because of high population growth, urbanization trends, and deployment of existing technologies for resource efficiency. To tap into this potential, IFC created EDGE — Excellence in Design for Greater Efficiencies — a green building certification program for more than 150 countries. Symbol: Not Climate Event Input: – Commonly used benchmarks are the current climate or the pre-industrial climate situation. Norway will probably experience increased precipitation, more flooding, more frequent landslips and rising sea level, and these physical changes and the uncertainty associated therewith constitute risk factors. Many of the physical processes happen very slowly, from a human perspective. Even if net global emissions were to be reduced to zero within a short space of time, it may therefore take a very long time for the climate system to arrive at a new equilibrium. Symbol: Not Climate Event Input: Furthermore, again in 2019, the following plants were completed: - the Adam plant in Tunisia (5 MWp with energy storage, 2.5 MWp Eni share) which will power the facilities at the Adam oilfield operated by Eni; - the photovoltaic plant at Katherine in Australia with a capacity of 34 MWp and energy storage; - 70% of the Badamsha wind farm in Kazakhstan, which is also an absolute first for Eni, with a total capacity of 50 MW (completed in February 2020). Symbol: Not Climate Event Input: Creating value Measuring our reputation KPI FY19 FY18 FY17 FY16 FY15 AGL‘s Reptrak score declined since FY18. The drop in AGL‘s reputation over the past year has been driven by declining scores on three important dimensions of reputation – leadership, workplace and citizenship. This decline in reputation was consistent with scores across the energy industry as a whole. Symbol: Climate Event Input: Other regulatory risks entail litigation risk and potential direct regulations in line with increasing carbon neutrality ambitions in various jurisdictions, such as the EU’s European Green Deal. Climate-related policy changes may also reduce access to prospective geographical areas for future exploration and production. Disruptive developments may not be ruled out, possibly triggered by severe weather events affecting public perception and policy making. Symbol: Not Climate Event Input: Investors are seeking a better understanding of how climate change may impact the company’s business over the short, medium and long term. They also want to know about the company’s planned response, including how it may need to change its strategy. However, according to EY’s July 2020 report ‘How will ESG performance shape your future?’, based on a global institutional investor survey, companies are failing to meet investors’ expectations on environmental, social and governance factors when compared with 2018. Symbol:	Not Climate Event
Input: The aggregated estimate for the ve selected segments of the Group's Australian lending portfolio indicates that the Group lends approximately $23,320 to these sectors in Australia for every tonne of Greenhouse gas emissions released to the atmosphere by customers in these industry segments. Symbol: Not Climate Event Input: Sustainable finance products are instruments that channel funds to finance customer transactions in sectors such as renewable energy, energy efficiency, waste management and water treatment, as well as access to social goods and services, including housing, education, health and employment. BBVA strives to contribute to creating the mobilization of capital needed to halt climate change and achieve the Sustainable Development Goals mentioned before. To this end, it has pledged to mobilize €100,000m in sustainable financing between 2018 and 2025. Symbol: Not Climate Event Input: Based on these market developments, we continue to focus on policy and legal risks, as well as technology risks, as we mainly expect changes within these two dimensions to potentially impact asset values. In this way, we aim to capture those industries and groups of companies that are most exposed to these risks and may therefore require adjustments in the near to medium term. Symbol: Climate Event Input: In 2020, the EBRD signed a US$ 100 million project to finance Louis Dreyfus Company's (LDC) subsidiaries operating in Bulgaria, Egypt, Kazakhstan, Poland, Romania, Tajikistan, Turkey and Ukraine. The transaction will finance working capital needs for the trading activities of LDC's subsidiaries in these countries. Symbol: Climate Event Input: Thanks to these investments, we are able to swiftly transfer work to unaffected locations if required and to keep potential financial impacts to a minimum.Based on our proprietary loss modelling, we calculate the annual expected losses (AEL) and loss-frequency distributions of major weather-related natural catastrophes. Symbol: Not Climate Event Input: R I S K - I N F O R M E D D E C I S I O N M A K I N G To achieve our business objectives and performance goals, we must ensure that our business strategies are aligned with the risks we face. Symbol: Climate Event Input: For investment real estate in Switzerland, we apply the following sustainability criteria: analysis of energy sources as a percentage of market value and MINERGIE certifications. MINERGIE is a Swiss sustainability label for new and refurbished buildings. By the end of 2019, the combined value of our MINERGIE-certified buildings reached USD 0.4 billion, or 23% of our Swiss portfolio of direct real estate Symbol: Not Climate Event Input: As part of this strategy, over the past few years Bankinter has taken part in pilot projects to develop guidelines and methodologies to analyse the indirect impacts of the financial sector. Symbol: Climate Event Input: Growing concerns over air quality, road safety, sustainability and urban congestion, among consumers and society at large, are driving the regulations and policies for motor vehicles and urban development. These will impact choice of fuel, ownership patterns and will have a signicant impact on the future of the automotive industry. Symbol:	Not Climate Event
Input: Although we have devoted significant resources to develop our risk management policies, procedures and methods, including with respect to market, credit, liquidity, operational as well as reputational and model risk, they may not be fully effective in mitigating our risk exposures in all economic market environments or against all types of risk, including risks that we fail to identify or anticipate. Symbol: Climate Event Input: Operational risk involves the risk of a positive, negative or potential loss resulting from inadequate or failed internal processes, human behaviour and systems or from external incidents. Business continuity risk, financial reporting risk, model risk and HR risk are within the scope of the Group’s operational risk management. Operational incidents and losses in all (risk) areas are recorded in the Operational Incident Database. Symbol: Climate Event Input: Risk and risk management Operational risk and compliance risk Operational risk is the risk of loss resulting from inadequate or failed internal processes, people and systems, or from external events including legal risk but excluding strategic and reputation risk. It also includes, among other things, technology risk, model risk and outsourcing risk. Symbol: Climate Event Input: This long-term perspective is reflected in the choice of strategic portfolio, which includes both the long-term distribution of capital over various broad asset classes as well as strategies that determine the distribution within each asset class of individual securities. Symbol: Climate Event Input: Plants. This methodology is forward-looking and uses the IEA's 2 C scenario. This has allowed the Group to set target and transition away from coal power generation and extraction. Output from this analysis shows that the credit portfolio in these two sectors is aligned and below a 2 C scenario. - Societe Generale has also tested a credit portfolio alignment methodology developed by the 2 C Investing Symbol: Not Climate Event Input: Sasol promotes effective management and achievement of climate-related targets and objectives through appropriate performance incentives. With the exception of Mining employees below management levels who participate in production bonus plans, short-term incentives are distributed through the single short-term incentive (STI) structure, which applies to all other employees globally. Corporate performance targets are set in relation to the long-term incentive plan and are measured over a period of 3 years. Symbol: Not Climate Event Input: In line with this action plan, in 2014 we set the target of “achieving a five-fold increase in value created in terms of climate change countermeasures through the provision of NEC products and services compared to the CO2 emissions from NEC’s supply chain,” and proceeded to carry out initiatives. During fiscal 2019, the value was six times, with a contribution of 33.58 megatons for an mitigation, targeting a reduction of 23 megatons by fiscal 2021, expanding to 50 megatons by fiscal 2031. Moreover, we will reduce CO2 emissions from our own business operations by improving efficiency and shifting to renewable energy. environmental load of 5.62 megatons, representing a significant improvement from 3.5 times in fiscal 2018. This reflects a stronger approach to our suppliers and an increase in provision of disaster measure-related solutions by domestic subsidiaries. Symbol: Not Climate Event Input: 2020 in solutions for four social issues, namely . climate change, water shortage, food security and healthcare. These targeted investments - which we call ‘investments in solutions’ - not only contribute financially to the returns for our clients, but also create social added value. At the end of 2019, a total of 18.3 billion euros had been invested in solutions for these themes. Symbol: Not Climate Event Input: Unfortunately, this progress has come at a cost. Carbon emissions have tripled since 1960. We are now consuming about 1.75 times as many natural resources in a year as the planet can possibly regenerate – which is driving land and biodiversity loss, resource shortages and climate change. This is not sustainable, especially with the global population forecast to increase by a further 50% this century. And although people are living longer, they’re not always healthier or happier: there’s been an increase in chronic disease, while mental health issues are also on the rise. Symbol:	Not Climate Event
Input: ENBW Amounting to EUR 1.5 billion, this deal was the first sustainable finance transaction closed since the COVID-19 crisis began, where BBVA acts as the sole sustainable coordinator, and in which the economic conditions are linked to the performance of three sustainability indicators for the company (two environmental and one social), in addition to the company's credit rating. Symbol: Not Climate Event Input: We have developed two new portfolio metrics to provide greater transparency to the alignment of our power generation and commercial building portfolios with climate scenarios. These two sectors were chosen because electricity generation is responsible for around a third of Australia's national emissions with the non-residential buildings sector among the largest final end users of electricity. Supporting our customers' efforts to decarbonise the electricity supply and reduce the energy needs of commercial buildings will be key focus areas for ANZ over the coming decades. Symbol: Not Climate Event Input: The Group is exposed to multiple risks relating to the conduct of its general insurance business. The following risks noted below are not meant to represent an exhaustive list, but the risks faced by the Group that have been identified by the RMS process:  strategic risk: the risk of not achieving corporate or strategic goals; Symbol: Climate Event Input: If Philips is unable to ensure effective supply chain management, e.g. facing an interruption of its supply chain, including the inability of third parties to deliver parts, components and services on time, and if it is subject to rising raw material prices, it may be unable to sustain its competitiveness in its markets. Symbol: Climate Event Input: CN invested $1.6 billion in basic track infrastructure in 2017 to improve the safety and fluidity of our network. The work included the replacement of more than 2.2 million cross ties and the installation of over 600 miles of new rail, as well as bridge repairs, branch line upgrades and other general track maintenance. In 2018, CN is targeting a record $3.2 billion in total capital investment, up Symbol: Climate Event Input: In the fiscal year ended March 31, 2020, GHG emissions from the Head Office, Company offices and branches, and domestic and overseas subsidiaries were 0.75 million tons. Further, GHG emissions from un-incorporated joint ventures in the metal resources and energy field totaled 3.07 million tons. As a result, total GHG emissions were 3.82 million tons. In addition, Scope 3, Symbol: Not Climate Event Input: For NN Group’s own assets, too, we look for investments that have a positive impact on society while still meeting our investment criteria. For instance, we invest in green bonds, and finance infrastructure debt projects in the area of renewable energy and resource efficiency (specifically: solar and windfarms, district heating projects, and water and wastewater treatment facilities). In total, these investments amounted to EUR 821 million at year-end 2019. Symbol: Not Climate Event Input: Given how essential bonds are to the global economy — as a source of risk management and returns for investors, as a source of capital for companies and governments — the lack of structural innovations to the bond market for many years was surprising. For decades, bond markets largely stayed the same. And in fact, investing in bonds became more difficult following the global financial crisis, as greater regulatory oversight and capital restrictions significantly reduced banks’ balance sheets and as a result, bond inventories. Symbol: Climate Event Input: Physical risk Physical risks can be acute or chronic. Acute physical risk is caused by extreme weather events such as cyclones and wildfires. Chronic physical risk arises from longer-term shifts in climate patterns such as rising sea levels with time horizon typically spanning decades. Physical risk can result in financial losses due to direct damage to assets and indirect impact from supply chain disruption. Symbol:	Not Climate Event
Input: Environmental, Social, and Governance Data Factory S&P Global's cross divisional effort to identify opportunities and risks in Environmental, Social, and Governance is supported by a common data and technology backbone. Environmental, Social, and Governance Data Factory feeds S&P Global's Environmental, Social, and Governance offerings. Data sets include public- and private- company data, asset level Symbol: Not Climate Event Input: There is an increased focus by foreign, federal, state and local regulatory and legislative bodies regarding environmental policies relating to climate change, regulating greenhouse gas emissions, energy policies and sustainability, including single use plastics. This new or increased focus may result in new or increased laws and regulations that could cause significant increases in our costs of operation and delivery. In particular, increasing regulation of fuel emissions could substantially increase the distribution and supply chain costs associated with our products. Lastly, consumers and customers may put an increased priority on purchasing products that are sustainably grown and made, requiring us to incur increased costs for additional transparency, due diligence and reporting. As a result, climate change could negatively affect our business and operations. Symbol: Not Climate Event Input: Climate change can pose material risks to sovereign debt due to its impact on national expenditures associated with disaster recovery from extreme weather events or preparedness through climate change mitigation and adaptation projects. Emerging market countries are particularly vulnerable since they often lack capital or have higher funding costs, which exacerbates the myriad risks that they already face. For example, many of these countries are vulnerable to food insecurity from both the impact of climate change on their own agricultural production and higher prices for imports. Our investment team members are increasingly focused on deepening their understanding of environmental risk in sovereigns and its complex links to fiscal and monetary conditions, which in turn affect bond yields and credit ratings. Symbol: Not Climate Event Input: In April 2020, we announced our A$20 million Community Support Fund which is supporting our host communities with the challenges associated with the COVID-19 pandemic. Since launching the Fund, a number of health, livelihood and economic recovery initiatives have been funded such as a partnership with the University of Queensland to support COVID-19 vaccine research, a contribution to the cost of new lost-cost ventilators and partnering with international organisations to deliver medical supplies, equipment, infrastructure and services in Papua New Guinea. Symbol: Climate Event Input: Global climate change could exacerbate certain of the threats facing our business, including the frequency and severity of weather-related events referred to in Performance of critical infrastructure in this section 9. In addition, increases in energy prices are partly influenced by government policies to address climate change which, combined with a growing data demand that increases our energy requirements, could increase our energy costs beyond our current expectations. Symbol: Not Climate Event Input: $15-20 billion in projected savings for the banking sector by 2022 thanks to blockchain technology* in manufacturing efficiency over the next five years, contributing $500 billion in annual added value to the global economy. To helps its clients secure these benefits, Capgemini offers a Digital Manufacturing service line that improves efficiencies and productivity through smart, connected services (see page 60). Symbol: Climate Event Input: Impacts of Risks are consequences of risks, both quantitative and qualitative. There may be many consequences of risks manifesting, such as a reduction in earnings and capital, liquidity outflows, and fines or penalties, or qualitative impacts such as reputation damage, loss of clients and customers, and regulatory and enforcement actions. Symbol: Climate Event Input: The CFO convened a Scenario Discussion Workshop where members of senior leadership discussed the Company's current state, considered possible future scenarios, identified different risks and opportunities within these scenarios, and discussed the financial implication of these impacts on the Company. Symbol: Climate Event Input: Scope 2 greenhouse gas emissions Indirect emissions resulting from the generation of grid electricity, heat or steam by an outside organisation, such as an electricity provider, but which is utilised by the reporting organisation. Scope 3 greenhouse gas emissions All other indirect emissions which occur at sources the organisation neither owns nor controls. Scope 3 emissions can result from business travel in non-company vehicles, especially commercial planes; employees commuting in non-company vehicles, as well as the activities of suppliers, customers and contractors. Symbol:	Not Climate Event
Input: A global increase in greenhouse gas (GHG) concentration in our atmosphere has caused a record-breaking pace of temperature rise, and the rate of change is still increasing. Since the 1880s, the average global temperature has increased by 1.1 degrees Celsius. A destructive trend of impacts has emerged, from stronger hurricanes to intensified droughts and rising sea levels: climate change is already causing large-scale damage to communities around the world. Symbol: Not Climate Event Input: This transition does not, however, automatically translate into a financial risk for us. For example, motor insurance is the most important business line of the re/insurance sector globally. According to Swiss Re's sigma database, it currently represents approximately 33% of global non-life gross written premiums and is expected to grow further, albeit at a lower rate. Symbol: Climate Event Input: The Fund is working to identify governance issues in its underlying investment holding companies which could damage its long-term financial interests. The risk analysis is based upon the following potential adverse impacts on a company’s: i) Reputation. ii) Falling short of its peers on social, environmental or ethical trends. iii) Slow in responding to social changes and trends. iv) Falling short of its peers on meeting reporting standards. v) Comparatively weak board structure in terms of make-up, expertise, independence. Symbol: Not Climate Event Input: Disappointingly, the vast majority of companies only make generic references to emerging risks when describing their risk management processes. They provide little insight into whether existing risk management processes were sufficient to identify emerging risks or whether they had to flex or amend these processes to do so. They give little information about how emerging risks, once identified, are treated and monitored. Symbol: Climate Event Input: In 2019, HSBC participated in the Carbon Disclosure Project (formerly the Carbon Disclosure Project) working group to develop financial sector disclosure. We also partnered with climate change experts at MIT to produce exploratory transition scenarios. These scenarios were used to raise internal awareness of the different speeds with which transition could occur, the resulting investment requirements, the implications for energy system configuration and the broad macroeconomic costs. Symbol: Not Climate Event Input: The Group Compliance SU (CPLE) is responsible for the definition and consistency of the compliance risk prevention and control framework, and for coordinating the framework aimed at preventing, identifying, assessing and controlling reputational risk across the entire Group. Symbol: Climate Event Input: In 2013, Nationwide identified a gap in how and when lenders collect data regarding the mortgage security property, which impacts risk management and the customer journey. This often means that consideration of environmental risks on the property is limited and only takes place after the mortgage offer has been issued through the conveyancing process, which can be inconsistent and is reviewed by a professional who is not qualified in this area. Symbol: Not Climate Event Input: MELBOURNE BACKS BTR In June 2019, we entered into an agreement with developer PDG to deliver 490 purpose-built, BTR apartments as part of the $450 million Munro development in Melbourne’s CBD. The Munro development is a key project within the City of Melbourne’s $250 million renewal of the Queen Victoria Market precinct. Symbol: Climate Event Input: The risk of credit loss or non-financial risks, such as reputational damage, arising from environmental, social and governance (ESG) issues, including climate change. While a key component of ESG risk arises indirectly from the financial services we provide to our customers, it can also result directly from our own operations. Symbol:	Not Climate Event
Input: When these damages are uninsured – and therefore borne by households, businesses or public authorities – this affects financial institutions’ exposure to these parties. The second type of risk, transition risk, is the result of the transition to a carbon-neutral economy. Climate policy, technological developments and changing consumer preferences may cause the value of loans and investments in sectors and companies that emit large quantities of carbon dioxide or other greenhouse gases to decrease much faster than previously expected. Underestimating this risk could lead to sudden and significant losses in the financial sector. Such a collapse is what is known as a Symbol: Not Climate Event Input: Data: Advancements in new technologies and new services, an increasing external threat landscape, and changing regulatory requirements increase the need for the Group to effectively govern, manage, and protect its data (or the data shared with third-party suppliers). Failure to manage data risk effectively can result in unethical decisions, poor customer outcomes, loss of value to the Group and mistrust. Symbol: Climate Event Input: � We have committed to have an additional 3,000 megawatts of new solar and wind — enough to power 750,000 homes — under development or in operation by the beginning of 2022. This is incremental to the nearly 1,800 megawatts of company-owned or -partnered solar generating capacity that had entered service by the end of 2018. Symbol: Not Climate Event Input: The two companies and the relevant local authorities had already created 1,088 car-pooling spaces between 2014 and 2018. They will step up their efforts in this area with a motorway investment plan that was approved by the French government in early November 2018. APRR has undertaken to create 1,700 car-pooling spaces at 27 sites by 2021, investing a total of €10.6 million, while AREA will invest €1.7 million to create 250 spaces at five sites in the same timeframe. Symbol: Not Climate Event Input: In Pakistan, where millions remain cut off from the national grid, we invested $125 million in China Three Gorges South Asia to support a series of privately owned hydro, solar, and wind projects. Once operational, they are expected to provide electricity to more than 11 million people and boost the country’s generation capacity by 15 percent. Symbol: Not Climate Event Input: Validation We established a common understanding between Toyota Motor Corporation (TMC) and all regions at the global meetings also based on the analyses conducted by overseas affiliates. We also engaged in dialogue with international organizations to validate the issues identified from perspectives outside of the company. The matrix was confirmed by relevant executives. Symbol: Climate Event Input: Our new policy measures outlined on page 1 will play a key role in shaping our portfolio over the coming years and help ensure we stay on track to meet our longer term goal. Symbol: Climate Event Input: We have been investing in videoconferencing and remote working capabilities as part of our IT Transformation Programme. Videoconferencing is integrated into our online collaboration platforms, enabling colleagues to join virtual meetings anytime, anywhere. Our teams can run webcasts with up to 500 participants. Symbol: Climate Event Input: Initial insights The majority of the residential properties in our portfolio have a very low probability of experiencing damage from flooding or drought in the next 30 years. A relatively small number of properties, however, have a high probability of experiencing damage from flooding or drought in that period. Therefore, the impact on an individual household may be significant, even more so if the quality of the property is already low or the household’s response capacity is low (e.g. insufficient wealth or mortgage headroom). Nevertheless this initial analysis does not suggest a significant impact at either a portfolio or bank level. Symbol:	Not Climate Event
Input: Physical risks have a higher probability to impact coffee, with higher temperatures and water shortages compromising quality and reducing availability. This may lead to an increase in raw material costs for the industry, and have economic and social impacts on coffee-growing communities. For wheat and dairy, there is a potential increase in the volatility of regional sourcing due to greater local climate variability but overall we foresee limited impact on global macro yields. Symbol: Not Climate Event Input: It is also used to identify what are known as emerging risks, in other words risks which could potentially have an adverse impact on the Group’s future performance, although their result and horizontal time frame are uncertain and difficult to predict (for further details see section ‘Emerging risks’ from chapter C. Background and upcoming challenges). Symbol: Climate Event Input: Businesses subject to this policy and implementation methods In this document, section 4.3.1.3 (1) Financing and Investment Transactions Prohibited Regardless of Sector lists projects for which we prohibit any financing or investment. Symbol: Climate Event Input: The sectors most negatively impacted by 2050 as a result of carbon pricing and related policies include fossil fuel intensive industries such as coal mining, carbon intensive power generation, and oil and gas exploration and production. The utilities sector experiences a high variation in impact, with the least carbon intensive companies experiencing positive growth. Within the transport sectors, air transportation is more affected than shipping, with road and rail transportation least affected due to the relative availability of electrification. Symbol: Not Climate Event Input: More than 20 years ago, we started incorporating climate change in our WRMPs, and in March 2018 we published, for consultation, a draft of our latest WRMP. The plan ensures we are resilient against the median climate change scenario and severe drought. Through the consultation we are also seeking support from our customers for £630 million of investment, which would further mitigate the impact of climate change, drought and future environmental challenges. Symbol: Not Climate Event Input: £3 billion (20 per cent) of the Group’s revenue and our customer facing channels to market are mentioned on page 24. Additional technology investments are aimed at improving execution and efficiency in all areas of our business from warehousing, fleet, inventory and customer relationship management to back-office human resources and financial management and reporting systems. Symbol: Climate Event Input: 4.3.4 Methods of stakeholder engagement are flexible and can be tailored according to different objectives. They may include surveys, meetings, written communication or any other channels, depending on the types of stakeholders. Given the areas of concerns and expectations may change over time, engagement should be an iterative process. Symbol: Climate Event Input: Aiming to facilitate the creation of a sustainable society and realization of SDGs via its financial services, MUFG has committed to extending a total of ¥20 trillion for sustainable finance over a period spanning from fiscal 2019 to fiscal 2030 (of this, ¥8 trillion will be used for environmental finance). Symbol: Not Climate Event Input: In July 2019, NGO Friends of the Earth Netherlands and its Indonesia and Liberia affiliates notified the Dutch NCP that ING may be in breach of the OECD Guidelines by financing palm oil-related activities. In its initial assessment published January 2020, the NCP did not express an opinion on either the accuracy of the allegations made by the NGOs or the response provided by ING. Symbol:	Not Climate Event
Input: These exercises highlight that not enough data are available for a bottom-up approach, assessing the vulnerabilities specific to Group clients and incorporating their response and remediation functions on a forward-looking basis. Symbol: Climate Event Input: STRATEGY (S) a. Identifying and managing cli- mate-related risks and opportuni- ties with different time perspec- tives The most significant and largest-impact cli- mate risks and opportunities are related to our investment assets. In terms of our own operations, the impacts are minor. Indirect risks mainly arise through our customers' business. Symbol: Not Climate Event Input: Economic and financial results in the four-year plan: the adjusted operating profit expected at €0.9 billion in 2021; cumulated free cash flow at €2.1 billion in 2018-2021. ● Reducing refining break-even margin at approximately 3 $/barrel by the end of 2018. ● Completion of the Gela conversion in biorefinery and the development of the second phase of the Venice biorefinery. ● Strengthening of marketing activities in countries of presence. ● Focus on digitalization to optimize operations and enhance efficiencies. Symbol: Climate Event Input: These sector-specific policies are usually developed by the AI taking into account relevant industry certification schemes, international practices, its strategy, level of exposure to the particular sector, and even its engagement with customers, industry experts, shareholders and the community. Symbol: Climate Event Input: The initiative has four working groups; government bonds, listed equities and corpo- rate bonds real estate and strategic asset alloca- tion. Representatives from AP2 participate in the steering group and in the working groups for government bonds and real estate. Symbol: Climate Event Input: The physical impacts of climate change can compound existing environmental risks to operations, supply chains and markets, and impact our ability to obtain key inputs or meet our customers needs. This impact may include disruption to upstream suppliers, manufacturing sites, and downstream warehousing and distribution. The transition to a low-carbon future may also impact the cost of inputs used in product manufacturing and customer demand preferences. Symbol: Not Climate Event Input: The inte- rest rate on the loan is tied to two key perfor- mance indicators: (i) achieving a net positive impact on biodiversity in UPM's Finnish forests; (ii) reducing Carbon dioxide emissions generated from pur- chased fuel and electricity 65% by 2030 (com- pared to 2015 levels), in accordance with UPM's commitment to aligning its business with the 1.5 C climate scenario. Symbol: Not Climate Event Input: Scope 3 Data Centres Scope 3 Data Centres Greenhouse Gas Emissions (Australia operations) relate to the electricity and diesel Greenhouse Gas Emissions consumption in our Australian data centres not under our operational control as defined under NGER. CBA has (Australia operations) not had operational control of any data centres since FY18. Source of emissions factors: NGA (2018). Symbol: Not Climate Event Input: Compliance Risk Management Compliance risk (a type of operational risk) is the risk resulting from the failure to comply with laws (legislation, regulations and rules) and regulatory guidance, and the failure to appropriately address associated impacts, including to customers. Compliance risk encompasses violations of applicable internal policies, program requirements, procedures, and standards related to ethical principles applicable to the banking industry. Symbol:	Climate Event
Input: Sector restrictions For the sector specific restrictions, the following definitions should be applied: i) 'Financing': all lending, underwriting, issuance of debt and equity, trade and working capital finance; ii) 'Directly finance projects' refers to project finance or other lending/ underwriting where the use of proceeds is known to be for a particular project. http://home.barclays/annualreport Symbol: Climate Event Input: However, in France, employees are involved in the Bank's long-term development through profit-sharing and/or incentive schemes. They are linked to the Company's overall performance (financial and non-financial) and regulated by Societe Generale agreements signed with the trade unions every three years. For Societe Generale SA in France, out of the total amount of profit-sharing and incentives paid in 2018 for the financial year 2017, 4% was relating to Symbol: Climate Event Input: In our outlook for impacts on our clients' business, we employed two scenarios: a static scenario which assumes that no attempt is made to transform the present business structure, and a dynamic scenario under which the business structure is transformed. Symbol: Climate Event Input: - For the first time, in 2019 and with the help of external specialists, BNP Paribas performed an assessment, on a sample of clients in its portfolio, of physical risks covering the consequences of climate change (extreme weather events) on the assets of Group clients. Symbol: Not Climate Event Input: e/million tonne The Employee Performance Scorecards (EPS) of the CFO and VicePresident Financial Planning include improvements in CN's fuel efficiency, in line with the Canadian rail industry medium-term emission intensity reduction target and the company's long-term science-based target. Symbol: Not Climate Event Input: The long-term ambition is clear (to align its businesses with the Paris Agree- ment goals), but to achieve that ambition calls for short and medium-term targets in more specific bu- siness lines, allowing the Group to steer its various business operations with greater precision. Symbol: Not Climate Event Input: We have imposed restrictions on providing loans, advice and insurance to controversial and socially sensitive sectors and activities such as: the energy sector, project finance, arms-related activities, narcotic crops, gambling, fur, palm oil production, mining, deforestation, land acquisition and involuntary resettlement of indigenous populations, tobacco, mining, animal welfare and prostitution. Symbol: Not Climate Event Input: The inability to reform mortgage markets has dramatically reduced mortgage availability. In fact, our analysis shows that, conservatively, more than $1 trillion in additional mortgage loans might have been made over a five-year period had we reformed our mortgage system. J.P. Morgan analysis indicates that the cost of not reforming the mortgage markets could be as high as 0.2% of GDP a year. Symbol: Climate Event Input: In addition, many of the project’s end-customers are large entities with wide ranging activities. A climate related event in a non-related part of the business could have a material adverse impact on the financial strength of such end-customer and their ability to honor their contractual obligations which could negatively impact on revenue and the cash flow of the project and our business. Symbol:	Not Climate Event
Input: As a manufacturer, Konica Minolta engages in various operations that impact the environment. For instance, it generates CO2 emissions, which contribute to climate change because of the use of materials derived from petroleum, which is a dwindling natural resource, and this affects ecosystems in various ways. • CSR reports, environmental reports, and websites • Community briefings and explanatory meetings • Collaboration with research institutions Symbol: Not Climate Event Input: The Audit Committee Charter states that the committee will 'discuss policies and procedures with respect to risk assessment and risk management, the company's major risk exposures, and the steps management has taken to monitor and mitigate such exposures.' The Vice President and General Auditor, Corporate Auditing, whose appointment and performance is reviewed and evaluated by the Audit Committee, is responsible for leading the formal risk assessment and management process within the company. Symbol: Climate Event Input: The Board of Directors has overall responsibility for ensuring that IAG has an appropriate risk management framework, including the determination of the nature and extent of risk it is willing to take to achieve its strategic objectives. The Board has oversight of the Group's operations to ensure that internal controls are in place and operate effectively. Management is responsible for the execution of the agreed plans. Symbol: Climate Event Input: Risks to the Group’s reputation Risks include acts or omissions by the Group or any of its employees that could damage the Group’s reputation or lead to a loss of trust among its stakeholders. Every risk type has potential consequences for Zurich’s reputation. Effectively managing each type of risk helps reduce such threats. Symbol: Climate Event Input: We require all potential projects to be assessed for carbon intensity and emission reduction opportunities, at every decision phase – from exploration and business development to project development and operations. Furthermore, we require all projects to include a carbon price of at least USD 55 per tonne, to be resilient towards expected higher carbon taxes. Symbol: Not Climate Event Input: Sector restrictions For the sector specific restrictions, the following definitions should be applied: i) 'Financing': all lending, underwriting, issuance of debt and equity, trade and working capital finance; ii) 'Directly finance projects' refers to project finance or other lending/ underwriting where the use of proceeds is known to be for a particular project. http://home.barclays/annualreport Symbol: Climate Event Input: - green business development through: (i) a growing commitment to renewable energy (approximately 1,000 MW installed power in 2021); (ii) development of the second phase of the Venice biorefinery and the completion, by the end of 2018, of the Gela biorefinery; (iii) strengthening of green chemistry, with production of bio-intermediates from vegetable oil at Porto Torres, studies and partnerships with other operators. Eni's capex for the 2018-2021 four-year period amount to more than €1.8 billion, including R&D costs to support path to decarbonization. Symbol: Not Climate Event Input: Transition risk: IFC uses carbon pricing to address transition risk and avoid stranded assets. Since May 2018, a carbon price is included in the economic analysis of project finance and corporate loans with defined use of proceeds in the cement, chemicals, and thermal power generation sectors, where estimated annual project emissions are over 25,000 tons of carbon dioxide equivalent. These are IFC's most greenhouse gas-intensive projects and cover over half of our investments' greenhouse gas footprint. IFC includes the impact of the carbon price on the project's economic performance in Board papers. Symbol: Not Climate Event Input: However, the implementation of a carbon tax may also have a negative impact on the financial health of utilities and corporate entities who also happen to purchase power from renewable energy projects in which we have invested. The credit ratings of these entities may be downgraded due to additional operating expenses resulting from a carbon tax. A credit rating downgrade may reduce the amount of financial leverage we are able to utilize. If this were to occur, our overall profitability could decline. Symbol:	Not Climate Event
Input: The investment horizon is between 3 and 15 years, because shorter investment horizons than this risk creating restrictions in the management, which can lead to poorer earnings, in part due to lower liquidity. Evaluation is over a rolling five-year period and the outcome of individual years should be interpreted with caution since strategic positions are taken in the medium term. Symbol: Climate Event Input: A key part of our progress to meet our target, was the allocation of £250 million to real assets covering real estate, infrastructure, forestry and agricultural land to Townsend Group. The mandate places a high priority on long term responsible investments that meet our financial targets, with a preference to invest positively in sustainable real assets such as energy efficient buildings, renewable energy projects, public transport, water treatment facilities, eco-friendly farming, and sustainable forestry. A case study on our investment in the Threadneedle Low Carbon Workplace Fund is illustrated below. Symbol: Not Climate Event Input:  For asset management companies belonging to a Group (most of the tested sample), inadequate internal supervision of the services (relating to IT, cybersecurity and business continuity) performed by the parent company was identified. But the technical execution of these services by the Group cannot exempt asset management companies from their responsibilities regarding the definition (in priority) of the main risk areas and management of the relevant controls. Symbol: Climate Event Input: - African Americans, Asians, and Hispanics/Latinos combined make up 13.7% of the aircraft pilots and flight engineers in the U.S. - Women make up 3% of aircraft mechanics and service technicians. Symbol: Climate Event Input: The future is not a faraway place. It’s as near as tomorrow and it will affect us all. As energy consumption soars, how will we meet the demand? Fossil fuels are a finite resource that will gradually disappear. The natural replacement is sweeping freely around the earth – the wind. Symbol: Not Climate Event Input: Reputation: In managing our reputation we seek to avoid the loss of credibility due to internal or external factors. Many types of risk have the potential to negatively impact our corporate reputation. Internal business practices, or those of our business partners or the companies in which we invest, may generate reputation harm. Consequences include diminished brand efficacy in commercial markets, impeding our ability to execute our strategy and our status as investor, partner and employer of choice. Symbol: Climate Event Input: We plan to achieve these targets through two key thrusts. 1. Reduce negative impact by reducing emissions; 2. Move towards a balanced portfolio of low-carbon energy assets by growing our renewables capacity Symbol: Not Climate Event Input: ING issued a dual tranche five-year EUR 500 million and three-year USD 800 million green bond. This is ING’s first-ever green bond transaction. The money raised will go to projects in six categories eligible under ING’s newly established green bond framework, including renewable energy, green buildings, public transport, waste, water and energy efficiency. We have chosen a broad selection of sectors, which reflects our ambition to support sustainability across all industries and sectors. Symbol: Not Climate Event Input: In anticipation of climate change related physical risks, projects related to our investments in particularly vulnerable regions, such as low-lying coastal areas, may face increases in insurance costs. An increase in insurance costs may reduce the cash flows and financial returns from these investments and may cause us to reduce the amount of financial leverage we utilize and cause a decline in our overall profitability. Symbol:	Not Climate Event
Input: There is also increased public focus, including by governmental and non-governmental organizations, on these and other environmental sustainability matters, including deforestation and land use. Our reputation could be damaged if we or others in our industry do not act, or are perceived not to act, responsibly with respect to our impact on the environment. Symbol: Not Climate Event Input: We met our goal and achieved carbon neutral certification for our operations under the Commonwealth Government's Climate Active program. To help contribute to our carbon neutrality goal, we continued to actively work to improve the energy efficiency of our network sites and exchanges, and data centres. This year, despite increasing demand for data, our network facility energy reduction program and decommissioning activities contributed a 3.4 per cent reduction towards achieving both our carbon neutrality and emissions reduction goals. Symbol: Not Climate Event Input: Creating value Measuring our reputation KPI FY19 FY18 FY17 FY16 FY15 AGL‘s Reptrak score declined since FY18. The drop in AGL‘s reputation over the past year has been driven by declining scores on three important dimensions of reputation – leadership, workplace and citizenship. This decline in reputation was consistent with scores across the energy industry as a whole. Symbol: Climate Event Input: IAG is exposed to multiple risks relating to the conduct of its general insurance business. The risks noted below are not meant to represent an exhaustive list, but outline those risks faced by IAG that have been identified in IAG's RMS:  strategic risk – the risk of not achieving corporate or strategic goals due to poor business decisions regarding future business plans and strategies and/or a lack of responsiveness to changes in the business environment; Symbol: Climate Event Input: Impacts of Risks are consequences of risks, both quantitative and qualitative. There may be many consequences of risks manifesting, such as a reduction in earnings and capital, liquidity outflows, and fines or penalties, or qualitative impacts such as reputation damage, loss of clients and customers, and regulatory and enforcement actions. Symbol: Climate Event Input: CORPORATE AND HOUSEHOLD DEBT 25 carried out a benchmark study of the banks’ calculated risk weights for exposures to commercial real estate. The results of the two analyses showed that there is a risk that the capital banks have earmarked for lending to commercial real estate will not sufficiently compensate for the credit losses that could arise following a severe financial stress. It is against this background that FI proposes higher capital requirements for lending to commercial real estate (see “Stability in the banking sector”). Symbol: Climate Event Input: Responsible investment, inclusive of climate change factors, is part of the standard due diligence conducted on each investment considered. Oversight of the proprietary rating system is the responsibility of our Responsible Investment Committee, which includes senior investment team representation from each platform. In this section we will touch on how the Capital Dynamics R-EyeTM Rating System, overseen by the Responsible Investment Committee and the firm's overall responsible investment initiatives help shape how we address climate change. Symbol: Not Climate Event Input: For NN Group’s own assets, too, we look for investments that have a positive impact on society while still meeting our investment criteria. For instance, we invest in green bonds, and finance infrastructure debt projects in the area of renewable energy and resource efficiency (specifically: solar and windfarms, district heating projects, and water and wastewater treatment facilities). In total, these investments amounted to EUR 821 million at year-end 2019. Symbol: Not Climate Event Input: A reduction in GHG emissions relies on the commercial viability and scalability of emission reduction strategies and related technology and products. In the event that we are unable to implement these strategies and technologies as planned without negatively impacting our expected operations or cost structure, or such strategies or technologies do not perform as expected, we may be unable to meet our GHG 2030 targets or 2050 ambition on the current timelines, or at all. Symbol:	Not Climate Event
Input: Our new policy measures outlined on page 1 will play a key role in shaping our portfolio over the coming years and help ensure we stay on track to meet our longer term goal. Symbol: Climate Event Input: 51 In February 2020, BlackRock made a charitable contribution of its 20% stake in PennyMac Financial Services, Inc. to the BlackRock Foundation, a newly established corporate foundation, and the BlackRock Charitable Fund, a donor- advised fund, which was established in 2013. Symbol: Climate Event Input: However, as a full-service bank, the objective for BNP Paribas is to continue financing all sectors of the economy (aside from certain duly identified sectors for which it has been determined that a transition compatible with the Paris Agreement goals is not possible), while working within each sector to encourage its clients to make a transition compatible with the Paris Agreement. Symbol: Not Climate Event Input: Climate change presents both physical and transition risks to our investment portfolio. Physical risks include the risk of loss due to extreme weather events or longer-term shifts in climate patterns. Transition risks include changes in government policy, regulation, consumer preferences and technology, which may increase the costs of certain assets (e.g. carbon pricing) or their marketability (e.g. stranded assets). These changes may impact the value of our investments. Symbol: Not Climate Event Input: 1.4.2 Health, safety and security of employees and subcontractors Health and safety Employees of VINCI companies and subcontracting companies are required to work on the increasingly complex projects and operations that the Group carries out. This can threaten their health, safety, hygiene and the quality of their life at work. The health and safety coordinators of the Group’s business lines have identified several types of risk considered as major (see the column “Identifying risks” in the table below). Symbol: Climate Event Input: Loan Business In line with the Group Credit Policy adopted based on the Board of Directors resolution, 'Our Fundamental Stance of Loan Business' clarifies the Group's intention to maintain a dialogue with customers who have not yet fully committed to addressing social and environmental issues with the purpose of encouraging their involvement. In addition, it explains the Group policy of abstaining from extending new loans to projects deemed to be exerting a major negative impact on the environment. Specifically, the Group will no longer finance projects associated with coal-fired thermal power generation, except when it finds compelling reasons for financing such projects, such as to realize economic restoration following a disaster. The Group is engaged in the screening and selection of candidate projects accordingly. Symbol: Not Climate Event Input: Project using non-mechanized mining technology More than 2 new coal mine projects with underground mining face Project using backward production process equipment for coal mining While restricting the underwriting and investment in the coal industry, Ping An continuously optimizes financial resources to support the development of renewable energy. Symbol: Not Climate Event Input: In addition, we have been gradually introducing RPA, which uses robots to automate a series of tasks previously performed by employees, resulting in a reduction in work hours of approximately 300,000 hours in the fiscal year ended March 31, 2020. Going forward, we will continue to promote automation and labor savings in data input operations to improve administrative efficiency. Symbol: Climate Event Input: Low Carbon Fuel Standards Existing and proposed environmental legislation and regulation developed by certain U.S. states, Canadian provinces, the Canadian federal government and members of the European Union, regulating carbon fuel standards could result in increased costs and reduced revenue. The potential regulation may negatively affect the marketing of Cenovus’s bitumen, crude oil or refined products, and may require us to purchase emissions credits in order to affect sales in such jurisdictions. As an oil sands producer, we are not directly regulated and are not expected to have a compliance obligation for carbon intensity reduction requirements for liquid fuels. Refiners, importers, and fuel distributors in these jurisdictions are required to comply with the legislation. Symbol:	Not Climate Event
Input: Initial insights The majority of the residential properties in our portfolio have a very low probability of experiencing damage from flooding or drought in the next 30 years. A relatively small number of properties, however, have a high probability of experiencing damage from flooding or drought in that period. Therefore, the impact on an individual household may be significant, even more so if the quality of the property is already low or the household’s response capacity is low (e.g. insufficient wealth or mortgage headroom). Nevertheless this initial analysis does not suggest a significant impact at either a portfolio or bank level. Symbol: Not Climate Event Input: IFC Catalyst Fund: The $418 million IFC Catalyst Fund was launched in 2012 and invests in funds that provide growth capital to companies developing innovative ways to address climate change in emerging markets. It also may invest directly in those companies. As of June 30, 2019, the fund had made 22 commitments totaling $365 million. Symbol: Not Climate Event Input: These exercises highlight that not enough data are available for a bottom-up approach, assessing the vulnerabilities specific to Group clients and incorporating their response and remediation functions on a forward-looking basis. Symbol: Climate Event Input: Unfortunately, current energy market and policy settings are inhibiting investment in new large-scale renewable electricity generation projects as projects are unlikely to receive sufficient revenue over their lives to be economically sustainable. Electricity markets are substantially oversupplied due to both a decline in electricity demand and government policies incentivising new capacity to enter the market. Despite recent developments, uncertainty persists in relation to new investment to meet the Renewable Energy Target, which has been the subject of numerous reviews in recent years. Complementary policies will be required to address barriers to exit for ageing emission-intensive power stations to facilitate the transition to a clean, modern power system. Symbol: Not Climate Event Input: Operational risks Operational risks relate to the losses resulting from inadequate or failed internal processes, people and systems, or due to external events. These risks normally fall within our low-risk appetite level as there is no strategic benefit from accepting the risk, as it will not be in line with our vision and values. Symbol: Climate Event Input: At the beginning of 2019, VINCI Airports signed a memorandum of understanding with the Portuguese government to extend Lisbon’s airport capacity. It provides for upgrading the existing Humberto Delgado Airport and building a new civil airport on the Montijo Air base opposite the city at the eastern end of the Tagus estuary. VINCI Airports will invest €1.15 billion over the next 10 years in this two-pronged project. Symbol: Climate Event Input: Disengaging and divesting from thermal coal, oil sands and oil shale Fossil fuels emit carbon dioxide (CO2) when burned and extracting them can harm the environment. We are working with customers and companies in which we invest that have more than 30 percent exposure to thermal coal, oil sands and oil shales to help them to reduce their use and exposure to these fuels. Zurich will also generally no longer underwrite or invest in companies generating more than 30 percent of their revenue from mining or more than 30 percent of their electricity from thermal coal. Symbol: Not Climate Event Input: To help increase access to affordable and sustainable homeownership, in April 2019, we announced the $5 billion Bank of America Community Homeownership Commitment™ to benefit LMI homebuyers over the next five years. The initiative will help more than 20,000 individuals and families achieve homeownership through grants that directly assist homebuyers with their down payments and closing costs. At the end of 2019, the program helped over 9,000 new homeowners with $2.3 billion in mortgage lending. Symbol: Climate Event Input: DEFINITIONS Scope 1 emissions are direct emissions from owned or operated facilities. Cenovus accounts for emissions on a gross operatorship basis. This includes fuel combustion, venting, flaring and fugitive emissions. It does not include emissions from the 50% non-operated ownership in the company’s refineries or emissions from non-operated Deep Basin assets. Symbol:	Not Climate Event
Input: Mobilizing private and institutional capital: We mobilize capital to support environmental and social issues, including the transition to a low carbon economy. For example: - We offer 100% sustainable cross-asset portfolios for private clients in Wealth Management, currently available in Switzerland and Germany. - Our wealth management business is developing a range of new thematic and pooled impact investments. - We participated in launching Align17 - a WEF Young Global Leaders initiative - an independent platform which stands out in connecting a wider range of public, institutional, and private wealth investors with investment opportunities related to the Sustainable Development Goals. - Our Asset Management business established a comprehensive approach to environmental and social factors, and to corporate governance, across investment disciplines. The 2017 Global Real Estate Sustainability Benchmark (GRESB) awarded ten of UBS Asset Management's real estate and infrastructure funds 5-star ratings, and seven funds ranked first in their respective peer groups. - Our Investment Bank provides capital-raising and strategic advisory services globally to companies offering products that make a positive contribution to climate change mitigation and adaptation, including those in the solar, wind, hydro, energy efficiency, waste and biofuels, and transport sectors. - We strive to be the preferred strategic financial partner relating to Switzerland's energy strategy 2050. And the UBS Clean Energy Infrastructure Switzerland strategy offers institutional investors unprecedented access to a diversified portfolio of Swiss infrastructure facilities and renewable energy companies. Due to client's demand, a successor strategy was launched in September 2017. Symbol: Not Climate Event Input: Investors are seeking a better understanding of how climate change may impact the company’s business over the short, medium and long term. They also want to know about the company’s planned response, including how it may need to change its strategy. However, according to EY’s July 2020 report ‘How will ESG performance shape your future?’, based on a global institutional investor survey, companies are failing to meet investors’ expectations on environmental, social and governance factors when compared with 2018. Symbol: Not Climate Event Input: We also assess risks on the basis of their potential impact on the value of our franchise, which is supported by our reputation, brand and good customer relationships. Conduct and operational risks, such as cyber security breaches, data loss and IT systems failure, in particular have the potential to significantly impact our franchise value. Symbol: Climate Event Input: New Chittoor facility During FY20, our eighth manufacturing facility in Chittoor district in Andhra Pradesh was commissioned with Phase I installed capacity of 0.4 million units. The total Phase I investment for setting up the manufacturing facility is around ` 622 crore for a projected 1.8 million units annual capacity. Symbol: Climate Event Input: Under the Strategic Plan 2018-2022, the company continues to optimise the businesses through additional efciency measures, with the commitment to cut annual operating expenses by Euros 500 million in 2022. These efciencies are focused on an analysis of the company's non-core activities and on the assignment of operational functions within each of the business units, all supported by the ongoing digitalisation processes. Symbol: Climate Event Input: The Technology and Operations and Enterprise Services teams work with Corporate Sustainability to implement initiatives to reduce the environmental impact of BlackRock's operations. In addition, BlackRock's Business Continuity Management and Disaster Recovery planning, strategy, and crisis management activities are managed by the Business Continuity Management team, which sits within Enterprise Services. Symbol: Not Climate Event Input: Should there be any local special conditions that are not sufficiently addressed by the group or parent strategy, the AI should either raise them with the group or parent for a possible solution or address them locally. In this regard, communication channels should be in place to facilitate the process. Symbol: Climate Event Input: High physical risk scenario (typically associated with a greater temperature increase) This is a climate change scenario that results in temperature change of greater than 4°C, resulting in extreme weather events which could threaten the successful operation of assets within the portfolio. We assume that under this scenario, renewables buildout lags expectations and energy is not decarbonised to an extent consistent with a lower impact from climate change and that insurance for damages may become unavailable or more expensive. Symbol: Not Climate Event Input: Failure to comply and adapt to climate related matters is also a significant reputation risk which could result in e.g. lack of tenant interest, higher cost of capital in the financial market, and lack of ability to attract or retain talent. Also, not handling the company’s corporate social responsibilities in an informed and good matter is a reputation risk, whereas the opposite is an opportunity. Symbol:	Not Climate Event
Input: Our new policy measures outlined on page 1 will play a key role in shaping our portfolio over the coming years and help ensure we stay on track to meet our longer term goal. Symbol: Climate Event Input: In addition, many of the project’s end-customers are large entities with wide ranging activities. A climate related event in a non-related part of the business could have a material adverse impact on the financial strength of such end-customer and their ability to honor their contractual obligations which could negatively impact on revenue and the cash flow of the project and our business. Symbol: Not Climate Event Input: In terms of piloting, we are analysing CIB listed companies sub-portfolio data (about 30 percent of the total in terms of EAD of given portfolio) while for remaining companies we are applying proxies based on sector and size of the company. Symbol: Climate Event Input: A reduction in GHG emissions relies on the commercial viability and scalability of emission reduction strategies and related technology and products. In the event that we are unable to implement these strategies and technologies as planned without negatively impacting our expected operations or cost structure, or such strategies or technologies do not perform as expected, we may be unable to meet our GHG 2030 targets or 2050 ambition on the current timelines, or at all. Symbol: Not Climate Event Input: Climate change strategy Climate risks the Commissioners face include: • Transition risk – the risk that our asset allocation, asset managers or individual investment assets prove to be poorly positioned for the investment risks and opportunities associated with the transition to a net zero carbon economy. • Physical risk – the risk that our assets are impacted by the physical risks associated with climate change, such as flooding and fire, particularly our property, rural and forest assets. Symbol: Not Climate Event Input: Validation We established a common understanding between Toyota Motor Corporation (TMC) and all regions at the global meetings also based on the analyses conducted by overseas affiliates. We also engaged in dialogue with international organizations to validate the issues identified from perspectives outside of the company. The matrix was confirmed by relevant executives. Symbol: Climate Event Input: This long-term perspective is reflected in the choice of strategic portfolio, which includes both the long-term distribution of capital over various broad asset classes as well as strategies that determine the distribution within each asset class of individual securities. Symbol: Climate Event Input: Climate change is increasing the frequency and intensity of natural disasters. According to a report by the United Nations Office for Disaster Risk Reduction (UNDRR), there were 7,255 natural disasters worldwide within the 20 years from 1998 to 2017, and 91% of them were climate-related. Moreover, among disasters associated with climate change, such as floods, storms, drought and heat waves, damage from floods and storms is particularly heavy, and the number of such disasters increased 2.2 times compared with the previous 20 years. Symbol: Not Climate Event Input: Climate change means climate risk, not only physical risk but also transition risk – the risk associated with economic impacts of the transition to a low carbon economy. Future social developments, climate policy developments and technology developments are subject to high uncertainty, and these factors have a major impact on greenhouse gas emissions. There is also significant uncertainty with regard to how sensitive the climate system is to changes in greenhouse gas emissions, and uncertainty with regard to the effects of a given level of warming. Symbol:	Not Climate Event
Input: Climate change is a long-term risk associated with high uncertainty regarding timing, scope and severity of potential impacts. The risks for insurers can be grouped into physical risks and transition risks. Physical risks relate to losses from climate trends (i.e. changing weather patterns and sea level rise) and climate events (i.e. extreme weather and natural disasters). These physical risks impact property & casualty (P&C) insurance, but also life insurance, for instance through higher than expected mortality rates. Losses can also follow from credit risk and collateral linked to the mortgage portfolio. Aegon is exposed to mortality risk and mortgage underwriting risks and has limited exposure to P&C risk, including catastrophic risk. Beyond insured losses from physical climate damages, climate change can increase uninsured damages and losses and may have disrupting and cascading effects on the wider economy and across the financial system. The second category of risks is associated with the transition to a low-carbon economy. These transition risks can affect the value of assets and impact the investments portfolios of insurers. Furthermore, it cannot be ruled out that Aegon itself is unable to adjust to environmental and sustainability goals. The transition risks are determined by largely uncertain factors such as policy and regulatory changes, political, social and market dynamics and technological innovations. Linked to both the physical and the transition risks, there could be litigation and reputational risks following from not fully considering or responding to the impacts of climate change, or not providing appropriate disclosure of current and future risks. The risks can relate both to Aegon and the companies in which it invests. Symbol: Not Climate Event Input: There is an increased focus by foreign, federal, state and local regulatory and legislative bodies regarding environmental policies relating to climate change, regulating greenhouse gas emissions, energy policies and sustainability, including single use plastics. This new or increased focus may result in new or increased laws and regulations that could cause significant increases in our costs of operation and delivery. In particular, increasing regulation of fuel emissions could substantially increase the distribution and supply chain costs associated with our products. Lastly, consumers and customers may put an increased priority on purchasing products that are sustainably grown and made, requiring us to incur increased costs for additional transparency, due diligence and reporting. As a result, climate change could negatively affect our business and operations. Symbol: Not Climate Event Input: We do not provide normalised figures for our CO2 emissions nor ratios of CO2 to production, financial results or employee headcount, as we do not believe that reporting a normalised figure meaningfully contributes to an understanding of our performance. The scope and diversity of our products make a single production figure impossible to calculate and our financial results are impacted by commodity prices and foreign exchange rates, which are outside of our control. In addition, due to the nature of the exploration, development and the production cycle, our CO2 emissions do not necessarily correlate to our employee headcount. Symbol: Not Climate Event Input: Compliance risk Compliance risk is the risk of failure to comply with applicable rules and regulations, and in so doing, exposing the group to penalties and reputational damage. Penalties received or due for non-compliance are an example of this risk. As a leading financial services group, the group faces complex challenges to ensure that its activities comply with local legislation, regulations and supervisory requirements and the relevant international standards and requirements. Symbol: Climate Event Input: IAG is committed to be the leading airline group in sustainability. This means that environmental considerations are integrated into the business strategy at every level and the Group uses its influence to drive progress across the industry. • IAG Climate Change strategy to meet target of net zero carbon emissions by 2050. • British Airways plans to offset UK domestic flight carbon emissions from 2020. • Fleet replacement plan introducing aircraft into the fleet that are up to 40 per cent more carbon efficient. • IAG investment in sustainable aviation fuels of $400 million in the next 20 years, including British Airways’ partnership with Velocys. • Management incentives under development to align to IAG’s new targets. • Partnering with Mosaic Materials to explore carbon capture technology. • Participating in CORSIA, the ICAO global aviation carbon offsetting scheme. Symbol: Not Climate Event Input: If Philips is unable to ensure effective supply chain management, e.g. facing an interruption of its supply chain, including the inability of third parties to deliver parts, components and services on time, and if it is subject to rising raw material prices, it may be unable to sustain its competitiveness in its markets. Symbol: Climate Event Input: The Group Compliance SU (CPLE) is responsible for the definition and consistency of the compliance risk prevention and control framework, and for coordinating the framework aimed at preventing, identifying, assessing and controlling reputational risk across the entire Group. Symbol: Climate Event Input: The investment horizon is between 3 and 15 years, because shorter investment horizons than this risk creating restrictions in the management, which can lead to poorer earnings, in part due to lower liquidity. Evaluation is over a rolling five-year period and the outcome of individual years should be interpreted with caution since strategic positions are taken in the medium term. Symbol: Climate Event Input: The analysis of economic implications of climate change is fraught with difficulty, and it is impossible to survey all potential impacts of climate change as no existing scenario or model can fully describe the workings of the entire physical world and how all physical, chemical, geological and biological processes influence each other. Impacts of climate changes will thus depend on how rapidly they occur, how large the changes are, as well as the adaptability of societies and ecosystems. As such, many analyses are based on factors that lend themselves to some degree of quantification, but climate change will also have effects which are difficult to quantify, or which cannot meaning- fully be quantified. Symbol:	Not Climate Event
Input: Reflecting our efforts to help expand re/insurance protection by working with public-sector clients, we made a commitment to the United Nations to advise up to 50 sovereigns and sub-sovereigns on climate risk resilience and to offer them USD 10 billion of insurance cover against this risk by 2020. You can see the progress we have made against this goal in the middle table on page 165. We also made a commitment to the Insurance Development Forum (IDF), in line with the InsuResilience Vision 2025 goals. This includes delivering climate and other natural hazards risk modelling, developing risk transfer solutions as well as offering capacity for climate risk insurance to increase insurance protection for selected climate-exposed countries. Symbol: Not Climate Event Input: Given the significant impact of this period of uncertainty on both Canadian businesses and companies and governments around the world, and the resulting volatility in financial markets, we expect to see significant effects on several of our financial statement line items and on our financial results in 2020. The timing and size of those impacts is not possible to forecast at this time. Symbol: Climate Event Input: Scope 3 Data Centres Scope 3 Data Centres Greenhouse Gas Emissions (Australia operations) relate to the electricity and diesel Greenhouse Gas Emissions consumption in our Australian data centres not under our operational control as defined under NGER. CBA has (Australia operations) not had operational control of any data centres since FY18. Source of emissions factors: NGA (2018). Symbol: Not Climate Event Input: In April 2018, the Group successfully completed a refinancing to convert floating to fixed debt and to extend the debt maturity out to November 2025. The Group issued a US$300 million bond with a fixed interest rate of 6.625%, which was swapped back to sterling upon issuance at an effective interest rate of 5%. The proceeds of the new issue were used to repay in full the £200 million floating rate bond issued in 2017 which had a maturity of 2022. Symbol: Climate Event Input: This long-term perspective is reflected in the choice of strategic portfolio, which includes both the long-term distribution of capital over various broad asset classes as well as strategies that determine the distribution within each asset class of individual securities. Symbol: Climate Event Input: The impact of climate change presents a significant risk. Damage to assets caused by extreme weather events linked to climate change is becoming more evident, highlighting the fragility of global infrastructure. We also anticipate the potential effects of climate change will increasingly impact our own operations and those of client properties we manage, especially when they are in coastal cities. Symbol: Not Climate Event Input: Thus, the Board of Directors, upon recommendation of its Compensation & Governance Committee, and following a comparative review of national, European and industry practices, decided to maintain unchanged, for 2020, the Chief Executive Off icer’s target annual variable compensation, at €1.45 million, i.e. 100% of the amount of his annual fixed compensation. Symbol: Climate Event Input:  The Local Government Coastal Hazard Climate Adaptation Fund ($4 million per annum over three years) was established to assist local councils with the development of coastal hazard adaptation strategies and coastal adaptation pilot projects. In addition, $3 million in funding was provided for the development and implementation of a Queensland Climate Adaptation Strategy, in collaboration with local councils and other key stakeholder groups ($1 million per annum over three years). Symbol: Not Climate Event Input: – Commonly used benchmarks are the current climate or the pre-industrial climate situation. Norway will probably experience increased precipitation, more flooding, more frequent landslips and rising sea level, and these physical changes and the uncertainty associated therewith constitute risk factors. Many of the physical processes happen very slowly, from a human perspective. Even if net global emissions were to be reduced to zero within a short space of time, it may therefore take a very long time for the climate system to arrive at a new equilibrium. Symbol:	Not Climate Event
Input: Four years ago, we began to significantly increase our exposure to the credit asset class which now stands at $18.3 billion at the end of 2019. We believe that rotating capital away from low-yielding, long-dated government bonds into higher-yielding credit investments provides for a better return on risk in the current low interest rate environment. Symbol: Climate Event Input: Scope 1 emissions come mostly from refrigerant leaks and to a lesser extent from stationary combustion in furnaces. Our Scope 3 emissions result primarily from the production of goods for sale, transportation of products, and waste generated in our operations. We use the GHG Protocol’s Corporate Value Chain methodology (Scope 3) to determine our reporting category. Symbol: Not Climate Event Input: Based on these metrics, BNP Paribas set interme- diate targets for itself. The long-term ambition is clear (to align its businesses with the Paris Agree- ment goals), but to achieve that ambition calls for short and medium-term targets in more specific bu- siness lines, allowing the Group to steer its various business operations with greater precision. Symbol: Not Climate Event Input: - green business development through (i) a growing commitment to renewable energy (approx. 1,000 MW installed power in 2021); (ii) development of the second phase of the Venice biorefinery (with a maximum capacity of 560 ktonnes/ year from 2021) and the completion of the Gela biorefinery (with maximum capacity of 720 ktonnes/year) by 2018; (iii) strengthening of Green Chemistry, with production of bio-intermediates from vegetable oil at Porto Torres (capacity of 70 ktonnes/year), studies, pilot projects and partnerships with other operators. The total investments in the 2018-21 four-year period amount to more than €1.8 billion, included the scientific and technological development (R&D) activities related to the path to decarbonization; Symbol: Not Climate Event Input: In addition, the impacts of physical and transition climate risks can lead to second order connected risks, which have the potential to affect the Barclays Bank Group’s retail and wholesale portfolios. The impacts of climate change may increase losses for those sectors sensitive to the effects of physical and transition risks. Any subsequent increase in defaults and rising unemployment could create recessionary pressures, which may lead to wider deterioration in the creditworthiness of the Barclays Bank Group’s clients, higher ECLs, and increased charge-offs and defaults among retail customers. Symbol: Not Climate Event Input: Businesses subject to this policy and implementation methods In this document, section 4.3.1.3 (1) Financing and Investment Transactions Prohibited Regardless of Sector lists projects for which we prohibit any financing or investment. Symbol: Climate Event Input: In addition, our businesses and the markets in which we operate are continuously evolving. We may fail to fully understand the implications of changes in our businesses or the financial markets or fail to adequately or timely enhance our risk framework to address those changes. If our risk framework is ineffective because it fails to keep pace with changes in the financial markets, regulatory requirements, our businesses, our counterparties, clients or service providers or for other reasons, we could incur losses, suffer reputational damage or find ourselves out of compliance with applicable regulatory or contractual mandates or expectations. Symbol: Climate Event Input: Regulatory risk is the risk of failure to meet new or existing regulatory and / or legislative requirements and deadlines, or a failure to embed compliant procedures into processes. It also includes the risk to the Group's capital, liquidity and profitability from the impact of future legislative and regulatory changes. Symbol: Climate Event Input: The two biggest emissions categories are car use and air travel. Compared to 2016, there was a decrease in the category ‘car’ as a result of the switch to electric lease cars. There were more kilometres of air travel in 2019, which resulted in higher CO 2 emissions in this area. Symbol:	Not Climate Event
Input: Reputation Risk: This is the risk of loss of credibility due to internal or external factors and is often related to, or results from, other categories of risk. This risk can arise from our internal business practices or those of our business partners or the companies in which we invest. Business partners include third parties hired to perform some of our administrative functions as well as investment organizations with which we have a contractual arrangement. A loss of reputation could impact our position as a partner, investor and employer of choice and impede our ability to execute our strategy. Symbol: Climate Event Input: Changes in the portfolio’s carbon footprint may occur for two reasons: a change in portfolio composition or a change in the emissions of investee companies. Not until companies reduce their real emissions will we see a reduction of atmospheric carbon and an improvement in the climate. In the past, it was not possible to show the reasons for changes in portfolio carbon footprint. However, the AP funds in 2019 were for the first time able to quantify changes over time in total carbon emissions and portfolio-weighted carbon intensity. Nevertheless, the metrics have limitations that restrict their applicability for measuring total portfolio climate risk and impact. This is because the figures do not, for example, include carbon emissions caused indirectly by investee business activities. Symbol: Not Climate Event Input: This long-term perspective is reflected in the choice of strategic portfolio, which includes both the long-term distribution of capital over various broad asset classes as well as strategies that determine the distribution within each asset class of individual securities. Symbol: Climate Event Input: We meet the financing needs of our customers with a broad and modern product range. The focus of the portfolio is on traditional owner-occupied home financing and the financing of real estate capital investments (residential mortgage loans and investment properties with a total EaD of €61bn). We provide our business customers with credit in the form of individual loans with a volume of €14bn. In addition, we meet our customers’ day-to-day demand for credit with consumer loans (consumer and instalment loans, credit cards to a total of €10bn). Symbol: Climate Event Input: In this environment, there are several the Group, as a global distributor, faces due to climate change. These include physical risks with increased likelihood of more extreme events such as storms, and heatwaves which could affect the business’s physical sites or its distribution process. A further risk is regulatory change, often by governments, designed to reduce greenhouse gas (GHG) emissions. These may render certain products obsolete whilst increasing demand for others. Other potential impacts include increases, for example, in the costs of air transport of inventory to meet customer demands. There is also reputation risk if the business is not seen to be taking deliberate and tangible actions to reduce its GHG emissions. Symbol: Not Climate Event Input: Climate change Climate change exposes UPM to variety of risks, that can be considered strategic, operational, hazard or financial. Strategic risks are related to competition, markets, customers, products and regulation. For example, unpredictable regulation and subsidies may distort raw material and final product markets, and costs of greenhouse gas emissions may influence UPM’s financial performance. However, transition to low-carbon economy should bring business opportunities to UPM’s renewable and recyclable products. Operational risks can be related to supply chain, availability and price of major inputs. Climate change may also cause operational or hazard risk related to exceptional weather events such as more severe storms, floods and draughts resulting in e.g. unpredictable wood harvesting conditions and hydro power availability. Climate change may also contribute to financial risks such as electricity price. Symbol: Not Climate Event Input: Business risk is the risk arising from changes in external factors (the macroeconomic environment, regulations, client behaviour, competitive landscape, socio-demographic environment, climate, etc.) that impact the demand for and/or profitability of our products and services. Strategic risk is the risk caused by not taking a strategic decision, by taking a strategic decision that does not have the intended effect or by not adequately implementing strategic decisions. quantified under different stress test scenarios and long-term earnings assessments. Symbol: Not Climate Event Input: - African Americans, Asians, and Hispanics/Latinos combined make up 13.7% of the aircraft pilots and flight engineers in the U.S. - Women make up 3% of aircraft mechanics and service technicians. Symbol: Climate Event Input: ■ While our facilities and operations are distributed across the globe, we can experience extreme weather, natural disasters, civil unrest, human-made disasters, power outages, pandemic, and other events which can prevent access to, and operations within, the facilities for our employees, partners, and other parties that support our business operations. Symbol:	Not Climate Event
Input: 3.3 Building on Intrinsic Business Model Strengths A pillar of the NorthEdge business is the principle of active partnership and influence to deliver on our core purpose. We enable this through relationship building with our target and existing portfolio company management teams. Then, formally known as 'active ownership', we leverage our nonexecutive Director role on investee company Boards, combined with our informal relationship(s), to steer a focus on value creation. Symbol: Climate Event Input: We fail to respond to the emerging threats from climate change for our investment portfolios and wider businesses As a significant investor in financial markets, commercial real estate and housing, we are exposed to climate related transition risks, particularly should abrupt shifts in the political and technological landscape impact the value of those investment assets associated with higher levels of greenhouse gas emissions. Symbol: Not Climate Event Input: By their very nature, these forward-looking statements require assumptions to be made and involve inherent risks and uncertainties, both general and specific. Assumptions about the performance of the Canadian and U.S. economies in 2020, including in the context of the COVID-19 pandemic, and how that affect the Bank's business are among the main factors considered in setting the Bank's strategic priorities and objectives. Symbol: Climate Event Input: We do not provide normalised figures for our CO2 emissions nor ratios of CO2 to production, financial results or employee headcount, as we do not believe that reporting a normalised figure meaningfully contributes to an understanding of our performance. The scope and diversity of our products make a single production figure impossible to calculate and our financial results are impacted by commodity prices and foreign exchange rates, which are outside of our control. In addition, due to the nature of the exploration, development and the production cycle, our CO2 emissions do not necessarily correlate to our employee headcount. Symbol: Not Climate Event Input: Businesses subject to this policy and implementation methods In this document, section 4.3.1.3 (1) Financing and Investment Transactions Prohibited Regardless of Sector lists projects for which we prohibit any financing or investment. Symbol: Climate Event Input: Climate change can pose material risks to sovereign debt due to its impact on national expenditures associated with disaster recovery from extreme weather events or preparedness through climate change mitigation and adaptation projects. Emerging market countries are particularly vulnerable since they often lack capital or have higher funding costs, which exacerbates the myriad risks that they already face. For example, many of these countries are vulnerable to food insecurity from both the impact of climate change on their own agricultural production and higher prices for imports. Our investment team members are increasingly focused on deepening their understanding of environmental risk in sovereigns and its complex links to fiscal and monetary conditions, which in turn affect bond yields and credit ratings. Symbol: Not Climate Event Input: In our outlook for impacts on our clients' business, we employed two scenarios: a static scenario which assumes that no attempt is made to transform the present business structure, and a dynamic scenario under which the business structure is transformed. Symbol: Climate Event Input: The following additional restrictions are in place for clients active in mountaintop removal mining (MTR): Barclays does not directly finance MTR projects or developments; We apply EDD to financing facilities involving clients which practice MTR. Symbol: Not Climate Event Input: Creating value Measuring our reputation KPI FY19 FY18 FY17 FY16 FY15 AGL‘s Reptrak score declined since FY18. The drop in AGL‘s reputation over the past year has been driven by declining scores on three important dimensions of reputation – leadership, workplace and citizenship. This decline in reputation was consistent with scores across the energy industry as a whole. Symbol:	Climate Event
Input: This structured approach applies to all of the Group’s operated businesses exposed to these risks. In addition to its drilling and pipeline transport operations, the Group has at the end of 2018 195 sites and operating zones exposed to major technological risks, which could cause harm or damage to people, property and the environment, corresponding to: Symbol: Not Climate Event Input: However, in France, employees are involved in the Bank's long-term development through profit-sharing and/or incentive schemes. They are linked to the Company's overall performance (financial and non-financial) and regulated by Societe Generale agreements signed with the trade unions every three years. For Societe Generale SA in France, out of the total amount of profit-sharing and incentives paid in 2018 for the financial year 2017, 4% was relating to Symbol: Climate Event Input: Beith: Stranded carbon assets was the underappreciated risk back then. Today it’s policy risk. There’s a palpable sense of grass-roots alarm as we see real-world, real-time effects of climate change, and that could create a policy tipping point where governments have historically been skeptical. That is the case next door to us in Australia, with its devastating bush fires, but also in the U.S., where state and municipal governments have taken the lead while the federal government moves in the opposite direction. Those potential tipping points create substantial investment risk. Symbol: Not Climate Event Input: By their very nature, these forward-looking statements require assumptions to be made and involve inherent risks and uncertainties, both general and specific. Assumptions about the performance of the Canadian and U.S. economies in 2020, including in the context of the COVID-19 pandemic, and how that affect the Bank's business are among the main factors considered in setting the Bank's strategic priorities and objectives. Symbol: Climate Event Input: Validation We established a common understanding between Toyota Motor Corporation (TMC) and all regions at the global meetings also based on the analyses conducted by overseas affiliates. We also engaged in dialogue with international organizations to validate the issues identified from perspectives outside of the company. The matrix was confirmed by relevant executives. Symbol: Climate Event Input: We strengthened our commitment to responsible ownership by investing directly in projects and companies that are making a positive impact, such as a $170 million commitment to affordable housing. And through the development of our new Climate Change Portfolio Transition Plan, we’ve committed to transitioning our investment portfolio to carbon neutrality, achieving net zero emissions by 2050. Symbol: Not Climate Event Input: The enterprise risks were categorized as an external, operational or strategic risk. External risks emerge from outside the organization, operational risks arise from within the organization, and strategic risks are associated with our strategic initiatives. The identified risks can significantly affect the Association’s finance, relevancy and reputation if mitigations are not in place. Symbol: Climate Event Input: Scope 3 Data Centres Scope 3 Data Centres Greenhouse Gas Emissions (Australia operations) relate to the electricity and diesel Greenhouse Gas Emissions consumption in our Australian data centres not under our operational control as defined under NGER. CBA has (Australia operations) not had operational control of any data centres since FY18. Source of emissions factors: NGA (2018). Symbol: Not Climate Event Input: Financial losses stemming from climate-related factors adversely impacting the capital value of securities held within the Investment Vehicle portfolio and/or the ability of those companies whose securities are held to meet their financial obligations thereunder. Reputational damage stemming from the Company’s association with companies whose securities are held within the Investment Vehicle portfolio and whose ESG policies, activities or disclosures fail to meet the standards expected by stakeholders. Symbol:	Not Climate Event
Input: CORPORATE AND HOUSEHOLD DEBT 25 carried out a benchmark study of the banks’ calculated risk weights for exposures to commercial real estate. The results of the two analyses showed that there is a risk that the capital banks have earmarked for lending to commercial real estate will not sufficiently compensate for the credit losses that could arise following a severe financial stress. It is against this background that FI proposes higher capital requirements for lending to commercial real estate (see “Stability in the banking sector”). Symbol: Climate Event Input: Business as usual, with very limited regulation beyond that existing in 2018. Severe physical climate change impacts build from 2020. This means that consumption increases until 2025 and then starts a gradual but significant decline as systems collapse, supply routes are disrupted and health and safety issues take precedence over discretionary items. Symbol: Not Climate Event Input: We also invested €4.3 million in energy efficiency projects which reduced energy consumption by 300 million MJ. Projects that contributed to this achievement include cooling improvements in eight countries, improvements in lighting efficiency in 12 countries, electrical power optimisation in three countries and heat recovery from ground water in Hungary. Air and steam leakage prevention programmes were also implemented at all 66 of our production sites during the year. Symbol: Not Climate Event Input: In technology development, we focus on increasing resource efficiency - aiming to reduce energy and water consumption, emissions, effluents and waste. In 2019, 81% of our R&D projects were related to initiatives targeting sustainability improvements. Our efforts to mitigate the environmental impacts of our products and services are presented in Sustainable technologies and innovations. Symbol: Not Climate Event Input: We recognize that there is potentially a lot of uncertainty regarding how to quantify these impacts and that reasonable people can differ in their assessments. As our collective knowledge and understanding of these mechanisms evolve, it is possible that the quantification of these scenarios may also change. Symbol: Climate Event Input: Based on this assessment, the directors have a reasonable expectation that the Group will be able to continue in operation, meet its liabilities as they fall due and raise financing as required over the period to December 2022. Symbol: Climate Event Input: While the transformation of our systems will continue beyond 2021, we are committed to remaining within the guided transformation investment spend of €1.4 billion equating to an average of 50 to 60 basis points of Common equity tier 1 (CET1) capital annually until 2021. We expect that investment in transformation beyond 2021 will be at a lower level. Symbol: Climate Event Input: In January 2020, GSF and Morgan Stanley Research convened our inaugural Cross-Divisional Forum on Climate Change. This collaboration brought together Morgan Stanley's experts on climate-related risks and opportunities across business units, including: - Institutional Securities Group: divisions represented included Investment Banking, Global Capital Markets, Institutional Equities, Fixed Income, Public Finance and Commodities - Wealth Management: joined by Wealth Management Investment Resources and Capital Markets - Investment Management: joined by portfolio managers from Private Credit and Equity, Real Assets and Alternative Investment Partners Symbol: Not Climate Event Input: Risk Impact Assessment of change in risk year-on-year Mitigation of risk absorber tubes, blades, PV panels or transformers are susceptible to being damaged by severe weather, including for example hail. In addition, replacement and spare parts for key components may be difficult or costly to acquire or may be unavailable Symbol:	Not Climate Event
Input: Our new sustainability strategy places a strong emphasis on improving our environmental performance by reducing emissions as well as improving products and packaging. At the same time, we reiterate our ongoing commitment to responsible operations. We will invest up to DKK 250 million over the strategy period to support our new sustainability strategy. Symbol: Not Climate Event Input: In the Intergovernmental Panel on Climate Change (IPCC) special report, climate change poses an increasing threat to mankind and the global economy. Transitioning to a low-carbon economy may entail extensive policy, legal, technology and market changes. Physical risks such as frequent or severe weather events may also give rise to credit, operational and reputational risks. Symbol: Not Climate Event Input: The Group is exposed to multiple risks relating to the conduct of its general insurance business. The following risks noted below are not meant to represent an exhaustive list, but the risks faced by the Group that have been identified by the RMS process:  strategic risk: the risk of not achieving corporate or strategic goals; Symbol: Climate Event Input: Prior to submission to the Board of Directors for final approval, investment decisions are reviewed by the EBRD Investment Committee (OpsCom). OpsCom is chaired by the First Vice President and Head of Client Services Group and includes representatives of all relevant functions involved in the business activity, including Banking, Legal, Risk Management, and the Economics, Policy and Governance team looking after the mandated objectives of the EBRD. Symbol: Climate Event Input: A top risk is defined as having: (i) the potential to have a material impact, across a business area or geographical area, on the financial results, reputation or sustainability of the Group; (ii) the potential of occurring in the near future. Symbol: Climate Event Input: Climate change can pose material risks to sovereign debt due to its impact on national expenditures associated with disaster recovery from extreme weather events or preparedness through climate change mitigation and adaptation projects. Emerging market countries are particularly vulnerable since they often lack capital or have higher funding costs, which exacerbates the myriad risks that they already face. For example, many of these countries are vulnerable to food insecurity from both the impact of climate change on their own agricultural production and higher prices for imports. Our investment team members are increasingly focused on deepening their understanding of environmental risk in sovereigns and its complex links to fiscal and monetary conditions, which in turn affect bond yields and credit ratings. Symbol: Not Climate Event Input: In addition, our businesses and the markets in which we operate are continuously evolving. We may fail to fully understand the implications of changes in our businesses or the financial markets or fail to adequately or timely enhance our risk framework to address those changes. If our risk framework is ineffective because it fails to keep pace with changes in the financial markets, regulatory requirements, our businesses, our counterparties, clients or service providers or for other reasons, we could incur losses, suffer reputational damage or find ourselves out of compliance with applicable regulatory or contractual mandates or expectations. Symbol: Climate Event Input: Sustainable finance products are instruments that channel funds to finance customer transactions in sectors such as renewable energy, energy efficiency, waste management and water treatment, as well as access to social goods and services, including housing, education, health and employment. BBVA strives to contribute to creating the mobilization of capital needed to halt climate change and achieve the Sustainable Development Goals mentioned before. To this end, it has pledged to mobilize €100,000m in sustainable financing between 2018 and 2025. Symbol: Not Climate Event Input: In addition, to the physical risks mentioned previously, rising temperatures could cause an increase in our operation and maintenance costs. Rising temperatures are associated to the reduction of the cycle efficiency of our turbines, a reduction of efficiency in solar photovoltaic modules, lower efficiency in wind facilities and higher consumption of chemicals used for operational purposes in our desalination plants, among others. Symbol:	Not Climate Event
Input: As a leader in the index investing and asset management industry, BlackRock has been the subject of commentary citing concerns about the growth of index investing, as well as perceived competition issues associated with asset managers managing stakes in multiple companies within certain industries, known as “common ownership”. The commentators argue that index funds have the potential to distort investment flows, create stock price bubbles, or conversely, exacerbate a decline in market prices. Symbol: Climate Event Input: Economic and financial results in the four-year plan: the adjusted operating profit expected at €0.9 billion in 2021; cumulated free cash flow at €2.1 billion in 2018-2021. ● Reducing refining break-even margin at approximately 3 $/barrel by the end of 2018. ● Completion of the Gela conversion in biorefinery and the development of the second phase of the Venice biorefinery. ● Strengthening of marketing activities in countries of presence. ● Focus on digitalization to optimize operations and enhance efficiencies. Symbol: Climate Event Input: For our stakeholders: for customers, breaches in security may cause personal loss (both financial and emotional). There may also be consequences for relations with suppliers and intermediaries. For investors, any loss of business or reputation could result in lower returns. PSD2 will increase consumers’ control over financial data, but also their responsibility for this data. Symbol: Climate Event Input: BNP Paribas work together withe banks having signed the Katowice Commitment to test and recom- mend to test and recommend ways to improve the general methodology developed by the 2 Degrees Investing Initiative. Symbol: Not Climate Event Input: AXA and the IFC, a member of the World Bank Group focused on the private sector, launched a US$500 million partnership in 2017, supporting an infrastructure fund that will notably finance green infrastructures in emerging countries, including renewable energy, water, green transport and telecoms. At the end of 2019, mandatory loans amount to US$390 million, of which US$120 million has already been financed. Coal and oil- sands related projects are explicitly excluded. Symbol: Not Climate Event Input: Water is an essential input for our industrial activities. Concerns regarding the long-term availability and quality of water, and security of access to water, have increased due to changes to demography and climate. Damage caused by storm surges and strong winds can affect the availability of ports and critical infrastructure required to transport our goods. Changes in temperature can lead to heat stress affecting our workforce and equipment. Symbol: Not Climate Event Input: We emit greenhouse gases both directly and indirectly. Our direct (Scope 1) emissions come from our industrial businesses, including the use of natural gas and diesel, and fugitive emissions from coal mining. Our main source of indirect (Scope 2) emissions is electricity used by our operations. We also estimate our Scope 3 emissions, which are other indirect emissions that occur as a result of our operations (e.g. employee air travel), but are not controlled by us. Symbol: Not Climate Event Input: JetBlue's workforce is broadly diversified among several job classifications, with Airport Operations crewmembers as the largest group at 31.3%. Nearly all (99.2%) of JetBlue's workforce is based in the United States. For more information on our workforce and crewmembers, see page 39. (TR0201-05) Symbol: Climate Event Input: Climate-related physical risks are those risks resulting from climate change, which involve event-driven (acute) or longer-term (chronic) shifts in climate patterns. Acute physical risks refer to those that are event-driven, including increased severity of extreme weather events such as cyclones, hurricanes or floods. Chronic physical risks refer to longer-term shifts in climate patterns (e.g., sustained higher temperatures) that may cause sea level rise or chronic heat waves. Symbol:	Not Climate Event
Input: JPMorgan Chase is committed to creating a more sustainable future for our employees, customers and communities. Our firm has committed to facilitate $200 billion in financing in 2020 to support the objectives of the United Nations’ Sustainable Development Goals, with a focus on addressing climate change and advancing social and economic development. Symbol: Not Climate Event Input: The Group faces many other risks which, although important and subject to regular review, have been assessed as less significant and are not listed here. These include, for example, natural catastrophe and business interruption risks and certain financial risks. A summary of financial risks and their management is provided on page 29. Symbol: Not Climate Event Input: AXA and the IFC, a member of the World Bank Group focused on the private sector, launched a US$500 million partnership in 2017, supporting an infrastructure fund that will notably finance green infrastructures in emerging countries, including renewable energy, water, green transport and telecoms. At the end of 2019, mandatory loans amount to US$390 million, of which US$120 million has already been financed. Coal and oil- sands related projects are explicitly excluded. Symbol: Not Climate Event Input: In late 2017, CN committed to purchasing 200 new alternating current traction locomotives over the next three years to accommodate future growth opportunities and drive operational efficiency across the system. CN’s order is the largest among Class I railways since 2014. These high-horsepower engines are equipped with advanced digital technologies to optimize power distribution, train handling, brake control and fuel utilization. Symbol: Climate Event Input: 1.4.2 Health, safety and security of employees and subcontractors Health and safety Employees of VINCI companies and subcontracting companies are required to work on the increasingly complex projects and operations that the Group carries out. This can threaten their health, safety, hygiene and the quality of their life at work. The health and safety coordinators of the Group’s business lines have identified several types of risk considered as major (see the column “Identifying risks” in the table below). Symbol: Climate Event Input: 3.3 Building on Intrinsic Business Model Strengths A pillar of the NorthEdge business is the principle of active partnership and influence to deliver on our core purpose. We enable this through relationship building with our target and existing portfolio company management teams. Then, formally known as 'active ownership', we leverage our nonexecutive Director role on investee company Boards, combined with our informal relationship(s), to steer a focus on value creation. Symbol: Climate Event Input: First microfinance deal in Bulgaria We carried out our first commitment to microfinance in Bulgaria, by guaranteeing up to EUR 700,000 of a EUR 5.1m microcredit portfolio for the JOBS Microfinance Institution. The estimated 320 loans will have a particular emphasis on enterprises created by young entrepreneurs, women, artisans and small-scale farmers. Symbol: Climate Event Input: Stress testing our portfolio to assess the effect of climate change on the bank's financial position, in 2019 ING carried out an internal climate risk stress test. As there is no standard for climate change stress testing yet, ING has adapted its regular stress testing models while leveraging on insights from supervisory climate stress tests and internal climate (risk) experts. Symbol: Not Climate Event Input: Given the significant impact of this period of uncertainty on both Canadian businesses and companies and governments around the world, and the resulting volatility in financial markets, we expect to see significant effects on several of our financial statement line items and on our financial results in 2020. The timing and size of those impacts is not possible to forecast at this time. Symbol:	Climate Event
Input: It is also used to identify what are known as emerging risks, in other words risks which could potentially have an adverse impact on the Group’s future performance, although their result and horizontal time frame are uncertain and difficult to predict (for further details see section ‘Emerging risks’ from chapter C. Background and upcoming challenges). Symbol: Climate Event Input: Climate change Climate change exposes UPM to variety of risks, that can be considered strategic, operational, hazard or financial. Strategic risks are related to competition, markets, customers, products and regulation. For example, unpredictable regulation and subsidies may distort raw material and final product markets, and costs of greenhouse gas emissions may influence UPM’s financial performance. However, transition to low-carbon economy should bring business opportunities to UPM’s renewable and recyclable products. Operational risks can be related to supply chain, availability and price of major inputs. Climate change may also cause operational or hazard risk related to exceptional weather events such as more severe storms, floods and draughts resulting in e.g. unpredictable wood harvesting conditions and hydro power availability. Climate change may also contribute to financial risks such as electricity price. Symbol: Not Climate Event Input: JPMorgan Chase believes that companies must do even more to help solve today’s biggest challenges and create economic opportunity for more people. To do so, they must invest in communities the same way they invest in their own businesses. As announced in early 2018, our firm will deploy $1.75 billion by 2023 to drive inclusive growth in communities around the world. Generating Return on Community is one of our core objectives because we know that the future of our company depends on the well-being of our communities. Symbol: Climate Event Input: Funds, launched a Climate Risk Monitoring Service and we also launched our £2.1bn All World Equity Climate Multi Factor Fund. RI will remain a high priority for all stakeholders in the Central Pool in the years ahead and we will continue to develop and enhance our corporate capabilities in this area. Symbol: Not Climate Event Input: New Chittoor facility During FY20, our eighth manufacturing facility in Chittoor district in Andhra Pradesh was commissioned with Phase I installed capacity of 0.4 million units. The total Phase I investment for setting up the manufacturing facility is around ` 622 crore for a projected 1.8 million units annual capacity. Symbol: Climate Event Input: In addition, the transition to a decarbonized society carries with it the risk of greenhouse gas emission regulations, such as the introduction and strengthening of a carbon tax, and technological improvements or rapid development of renewable energy technologies. There is a possibility that this shift could adversely affect the business performance and financial condition of the Company and its consolidated subsidiaries, especially those engaged in fossil fuel-related business. The likelihood of these climate-related risks is largely dependent on the status of efforts to prevent climate change under the Paris Agreement. Symbol: Not Climate Event Input: Based on these market developments, we continue to focus on policy and legal risks, as well as technology risks, as we mainly expect changes within these two dimensions to potentially impact asset values. In this way, we aim to capture those industries and groups of companies that are most exposed to these risks and may therefore require adjustments in the near to medium term. Symbol: Climate Event Input: For investment real estate in Switzerland, we apply the following sustainability criteria: analysis of energy sources as a percentage of market value and MINERGIE certifications. MINERGIE is a Swiss sustainability label for new and refurbished buildings. By the end of 2019, the combined value of our MINERGIE-certified buildings reached USD 0.4 billion, or 23% of our Swiss portfolio of direct real estate Symbol: Not Climate Event Input: Climate change is one of the greatest challenges we face today, with the potential to significantly impact our business, as well as our planet, in a number of ways. Construction delays, loss in productivity, rising material, water and energy costs and damage to property are just some of the climate-related risks we face as weather events caused by higher temperatures continue to become more extreme. Symbol:	Not Climate Event
Input: For example, CN’s investments of approximately $850 million in long sidings and double track since 2000 have enabled 42% higher car velocity and 59% more RTMs. With our sights firmly set on the long haul, we plan to invest a record $3.2 billion in 2018 to improve the safety, efficiency and capacity of our network. Symbol: Not Climate Event Input: For our operated offshore fields and onshore plants in Norway our new climate ambitions includes reducing the absolute greenhouse gas emissions by 40% by 2030, 70% by 2040 and to near zero by 2050. By 2030 this implies annual cuts of more than 5 million tonnes, corresponding to around 10% of Norway’s total CO2 emissions. A 40% reduction by 2030 will be achieved through large industrial measures, including energy efficiency, digitalization and launch of several electrification projects. The 2030 ambition is expected to require investments of around USD 5.7 billion for Equinor and its partners. Symbol: Not Climate Event Input: 42_ Scope 1 concerns direct emissions from the combustion of fossil fuels, such as gas, oil, coal, etc. Scope 2 covers indirect emissions related to the consumption of electricity, heat or steam required to manufacture a product. Scope 3 concerns other indirect emissions, such as the extraction of materials purchased by the company to manufacture a product or the transport-related emissions of employees and of customers who buy the product. This is the largest share of a company’s emissions. Symbol: Not Climate Event Input: These sector-specific policies are usually developed by the AI taking into account relevant industry certification schemes, international practices, its strategy, level of exposure to the particular sector, and even its engagement with customers, industry experts, shareholders and the community. Symbol: Climate Event Input: Impacts of Risks are consequences of risks, both quantitative and qualitative. There may be many consequences of risks manifesting, such as a reduction in earnings and capital, liquidity outflows, and fines or penalties, or qualitative impacts such as reputation damage, loss of clients and customers, and regulatory and enforcement actions. Symbol: Climate Event Input: Reputation Risk: This is the risk of loss of credibility due to internal or external factors and is often related to, or results from, other categories of risk. This risk can arise from our internal business practices or those of our business partners or the companies in which we invest. Business partners include third parties hired to perform some of our administrative functions as well as investment organizations with which we have a contractual arrangement. A loss of reputation could impact our position as a partner, investor and employer of choice and impede our ability to execute our strategy. Symbol: Climate Event Input: In the short-term, the water management strategic objectives for 2020 comprise: - Maintaining security of supply - Effectively managing water at our operations - Applying transparent corporate water governance - Adopting a catchment approach to water management During 2019, Gold Fields spent US$27m on water management by investing in methods to improve our water management practices, including pollution prevention, recycling and water conservation initiatives. Symbol: Not Climate Event Input: Our new policy measures outlined on page 1 will play a key role in shaping our portfolio over the coming years and help ensure we stay on track to meet our longer term goal. Symbol: Climate Event Input: The quantitative investment strategies focus mainly on stock picking based on quality and valuation. It is precisely these strategies, which yield long-term value and are suitable for large portfolios, that tend to perform poorly in a context of highly accommodative central bank monetary policies. In 2019, all major quantitative investment styles performed poorly; stock picking based on valuation and quality and stock picking based on recent price trends both yielded negative returns. This combination is seldom seen. Symbol:	Climate Event
Input: The Group considers risk management to be the key point in the financing business. We are therefore establishing a specialized risk management system that includes risk assessment standards specific to asset types, portfolio management, and monitoring methods. Under this management system, we will prioritize increasing transaction diversification as a concrete method of increasing operating assets exceeding ¥100 billion over the coming three years. Symbol: Climate Event Input: CLIMATE SOLUTIONS change. “When we think about livelihoods at risk from climate change impacts, we know that people living in developing countries, and especially the least-developed countries and small island states, are often most vulnerable and yet have the fewest financial resources to adapt,” says chief climate change expert Nancy Saich. Symbol: Not Climate Event Input:  For asset management companies belonging to a Group (most of the tested sample), inadequate internal supervision of the services (relating to IT, cybersecurity and business continuity) performed by the parent company was identified. But the technical execution of these services by the Group cannot exempt asset management companies from their responsibilities regarding the definition (in priority) of the main risk areas and management of the relevant controls. Symbol: Climate Event Input: More recently, we have seen some shift in rhetoric on environmental and social issues by the mainstream financial community. However, the voting records of many fund managers tell a different story. Nearly across the board, the largest fund managers tend to vote in line with management recommendations and generally support very few shareholder proposals, which typically advocate for sustainable and responsible business practices. For example, a recent study by Ceres found that, particularly around the topics of climate change, some of the largest managers have among the worst voting records in the fund industry. Symbol: Not Climate Event Input: 1.4.2 Health, safety and security of employees and subcontractors Health and safety Employees of VINCI companies and subcontracting companies are required to work on the increasingly complex projects and operations that the Group carries out. This can threaten their health, safety, hygiene and the quality of their life at work. The health and safety coordinators of the Group’s business lines have identified several types of risk considered as major (see the column “Identifying risks” in the table below). Symbol: Climate Event Input: The majority of our Scope 1 emissions include fugitive emissions from the production of coal and consumption of fuel and reductants. Scope 2 emissions principally relate to purchased electricity for our operations, in particular our metals processing assets, which require secure and reliable energy 24 hours a day, 365 days a year. Symbol: Not Climate Event Input: With regards to the energy transition, we carefully monitor sector-specific developments linked to the move towards a low-carbon economy. For upstream oil and gas, our credit assessments include a strong focus on production costs. By focusing on low-cost production, we work with our clients to ensure their businesses are resilient to the risk of 'stranded assets'. Symbol: Not Climate Event Input: We could suffer losses and our business has been and could be adversely affected by the failure to adopt and implement effective risk management We have implemented risk management strategies, policies and internal controls involving processes and procedures intended to identify, monitor and manage risks facing the Group. However, our risk management framework has not always been, or may not in the future prove to be, effective. Symbol: Climate Event Input: 42_ Scope 1 concerns direct emissions from the combustion of fossil fuels, such as gas, oil, coal, etc. Scope 2 covers indirect emissions related to the consumption of electricity, heat or steam required to manufacture a product. Scope 3 concerns other indirect emissions, such as the extraction of materials purchased by the company to manufacture a product or the transport-related emissions of employees and of customers who buy the product. This is the largest share of a company’s emissions. Symbol:	Not Climate Event
Input: Based on these market developments, we continue to focus on policy and legal risks, as well as technology risks, as we mainly expect changes within these two dimensions to potentially impact asset values. In this way, we aim to capture those industries and groups of companies that are most exposed to these risks and may therefore require adjustments in the near to medium term. Symbol: Climate Event Input: Group environmental impacts: With over 83,000 employees in more than 100 countries, the Group’s operations impact on the environment, particularly as a result of travel, energy consumption and waste. Impacts associated with climate change: Climate events (floods, storms, tsunamis, etc.) may disrupt or interrupt the services delivered by agencies and teams to their clients. Symbol: Not Climate Event Input: Risks are assessed at least annually. Please refer to Section 6.1 Our approach to risk management, 6.2 Risk categories and factors, 6.3 Strategic risks, 6.4 Operational risks, 6.5 Compliance risks, and 6.6 Financial risks. Symbol: Climate Event Input: In order to finance the entire investment volume of around €6 billion, divestitures amounting to €1.7 billion are planned in the years 2018 to 2020. This includes divestitures in the onshore sector, which will build on our already realised participation models. The remaining divestitures will involve the sale of property, the receipt of construction cost subsidies and the disposal of subsidiaries. Symbol: Not Climate Event Input: Reputation Risk: This is the risk of loss of credibility due to internal or external factors and is often related to, or results from, other categories of risk. This risk can arise from our internal business practices or those of our business partners or the companies in which we invest. Business partners include third parties hired to perform some of our administrative functions as well as investment organizations with which we have a contractual arrangement. A loss of reputation could impact our position as a partner, investor and employer of choice and impede our ability to execute our strategy. Symbol: Climate Event Input: We want to contribute to the transition to a circular economy. The linear economy is not sustainable. We discard a great deal (waste and therefore raw materials, experience, social capital and knowledge) and are squandering value as a result. This is not tenable from an economic and ecological perspective. As investor we can ‘direct’ companies and with our network, our scale and our influence we can help the movement towards a circular future (creating a sustainable society) further along. Symbol: Not Climate Event Input: As part of this proactive approach, six years ago the Group introduced an 'internal carbon tax', a mechanism that it has built on and expanded in the intervening period. Each year, a carbon tax is levied on each of the Group's entities, based on their greenhouse gas emissions ($10/tonne Carbon dioxide equivalent) and the sums collected are then redistributed in the form of rewards for the best internal environmental efficiency initiatives, through the 'Environmental Efficiency Symbol: Not Climate Event Input: This broad, detailed study found BNP Pari- bas' business model to be resilient to these risks, with respect to: o its businesses, and the sector and geographic classifications of its portfolios; o the measures taken to mitigate these risks. Symbol: Climate Event Input: The impact of climate change presents a significant risk. Damage to assets caused by extreme weather events linked to climate change is becoming more evident, highlighting the fragility of global infrastructure. We also anticipate the potential effects of climate change will increasingly impact our own operations and those of client properties we manage, especially when they are in coastal cities. Symbol:	Not Climate Event
Input: This includes: To adopt low-carbon measures in daily office operation, paperless office and the use of energy-saving lights across businesses to reduce carbon emissions and energy consumption directly; Encourage employees to participate in environmental protection activities and the use of renewable energy and new energy in architectural design and project retrofitting; Encourage all employees and our partners to contribute to carbon emission reduction and promote low-carbon ideas. Symbol: Not Climate Event Input: The EBRD provided a total of €98 million to finance windfarm projects in Poland and invested 14 billion tenge (€63 million equivalent) in a wind farm in Kazakhstan, considered a highly promising country for renewable energy development. The Bank signed wind and solar energy projects in Romania and financed the construction of a new hydropower plant in Georgia that will be one of the country’s few privately owned, greenfield hydropower plants. Symbol: Not Climate Event Input: Risk committees Effective risk management requires company-wide risk governance. ING's risk and control structure is based on the 'three lines of defence' governance model, whereby each line has a specific role and defined responsibilities and the execution and control of tasks are separated. At the same time, the three lines have to work closely together to identify, assess and mitigate risks. This governance framework is designed to manage risk in line with ING's overall risk appetite as approved by the Management Board Banking, Executive Board and Supervisory Board. Symbol: Climate Event Input: At this stage the assessment is still considered qualitative, as further studies and research are yet to be completed, however it does indicate which risks may potentially have a material impact on Transurban's business. Each of these risks will be assessed further to confirm the scope and relative impact of the different consequences to better inform the management approach and reporting for future years. Symbol: Climate Event Input: Regulatory risk is the risk of failure to meet new or existing regulatory and / or legislative requirements and deadlines, or a failure to embed compliant procedures into processes. It also includes the risk to the Group's capital, liquidity and profitability from the impact of future legislative and regulatory changes. Symbol: Climate Event Input: Climate change Climate change exposes UPM to variety of risks, that can be considered strategic, operational, hazard or financial. Strategic risks are related to competition, markets, customers, products and regulation. For example, unpredictable regulation and subsidies may distort raw material and final product markets, and costs of greenhouse gas emissions may influence UPM’s financial performance. However, transition to low-carbon economy should bring business opportunities to UPM’s renewable and recyclable products. Operational risks can be related to supply chain, availability and price of major inputs. Climate change may also cause operational or hazard risk related to exceptional weather events such as more severe storms, floods and draughts resulting in e.g. unpredictable wood harvesting conditions and hydro power availability. Climate change may also contribute to financial risks such as electricity price. Symbol: Not Climate Event Input: The types of events that give rise to reputation risk are broad and could be introduced in various ways, including by the Firm’s employees and the clients, customers and counterparties with which the Firm does business. These events could result in financial losses, litigation and regulatory fines, as well as other damages to the Firm. As reputation risk is inherently difficult to identify, manage, and quantify, an independent reputation risk management governance function is critical. Symbol: Climate Event Input: Potential risk Disruptions to operations and client services Actions to mitigate risk - We identify properties that we lease or own, which contain business processes and supporting applications that require enhanced facility infrastructure to mitigate site disruptions, such as those caused by extreme weather events. Symbol: Not Climate Event Input: Emerging risks are monitored proactively, their potential long-term impact on the Company is evaluated, and Senior Management and Risk Management Committee are informed on the subject. In this context, climate change risks stand out in terms of both impact and probability. Moreover, loss of reputation/brand damage, business interruption, failure to innovate, cyber attack and information security risks stand out as globally emerging risks. Symbol:	Not Climate Event
Input: Reputational risk In 2019 and in recent years, there has continued to be a range of material risk events such as service outages and data compromises in the market. These impact the reputation of the financial services industry as a whole and potentially threaten consumer confidence in both the reliability of services and the safety of their data and savings. Symbol: Climate Event Input: At the same time, Equinor aims to continue to improve the efficiency, reliability, carbon emissions, and lifespan of fields already in production. During 2019, Equinor updated the climate ambitions for Norway. Driven by a large remaining resource potential on the NCS, Equinor aims to reduce the absolute greenhouse gas emissions from its operated offshore installations and onshore plants in Norway with 40% by 2030, 70% by 2040, and towards near zero by 2050, compared to 2005. The 2030 ambition alone is expected to require investments of around NOK 20 billion Equinor share, in projects within energy efficiency, electrification, infrastructure consolidation, digitalization, and new value chains, such as CCS and Hydrogen. Symbol: Not Climate Event Input: Compliance Risk Management Compliance risk (a type of operational risk) is the risk resulting from the failure to comply with laws (legislation, regulations and rules) and regulatory guidance, and the failure to appropriately address associated impacts, including to customers. Compliance risk encompasses violations of applicable internal policies, program requirements, procedures, and standards related to ethical principles applicable to the banking industry. Symbol: Climate Event Input: In our outlook for impacts on our clients' business, we employed two scenarios: a static scenario which assumes that no attempt is made to transform the present business structure, and a dynamic scenario under which the business structure is transformed. Symbol: Climate Event Input: In 2020, the EBRD signed a US$ 100 million project to finance Louis Dreyfus Company's (LDC) subsidiaries operating in Bulgaria, Egypt, Kazakhstan, Poland, Romania, Tajikistan, Turkey and Ukraine. The transaction will finance working capital needs for the trading activities of LDC's subsidiaries in these countries. Symbol: Climate Event Input: — Commercial successes In December 2019, Eiffage acquired a portfolio of nine small hydro power plants located in south-western France from a private investor. A vast renovation plan (at a cost of about €25 million) and work to bring them into compliance with standards will give these nine plants an installed capacity of 6 MW. Symbol: Not Climate Event Input: In 2020, we invested £880,000 in delivering over 20 energy efficiency projects including a boiler upgrade, building management systems optimisation, improved lighting controls, and the installation of LEDs. These are expected to result in annual energy savings of 2,250,000 kWh. Over the next 12 months, we will pursue ISO 50001 accreditation at our commercial offices. Symbol: Not Climate Event Input: Romania’s OMV Petrom SA. The project will result in considerable water savings and carbon emission reductions. In Georgia, meanwhile, a US$ 40 million (€33 million equivalent) loan was provided to support the expansion of gas filling stations that offer compressed natural gas (CNG), an environmentally friendly alternative to conventional fuels. Symbol: Not Climate Event Input: Changes in the portfolio’s carbon footprint may occur for two reasons: a change in portfolio composition or a change in the emissions of investee companies. Not until companies reduce their real emissions will we see a reduction of atmospheric carbon and an improvement in the climate. In the past, it was not possible to show the reasons for changes in portfolio carbon footprint. However, the AP funds in 2019 were for the first time able to quantify changes over time in total carbon emissions and portfolio-weighted carbon intensity. Nevertheless, the metrics have limitations that restrict their applicability for measuring total portfolio climate risk and impact. This is because the figures do not, for example, include carbon emissions caused indirectly by investee business activities. Symbol:	Not Climate Event
Input: - We are taking into account both transition risks and physical risks. - Our transition risks include credit risk related to financing and investment clients who are impacted by more stringent carbon taxes, fuel efficiency regulations, or other policies or by delays in shifting to low- carbon and other environmental technologies. Our transition risks also include operational risk related to reputational damage from financing fossil fuel projects. Symbol: Not Climate Event Input: Based on this assessment, the directors have a reasonable expectation that the Group will be able to continue in operation, meet its liabilities as they fall due and raise financing as required over the period to December 2022. Symbol: Climate Event Input: Through these initiatives, Konica Minolta is aiming to achieve the business targets of more than ¥75 billion in operating profit, ¥50 billion in profit attributable to owners of the company, and ROE of 9.5% by fiscal 2019, the final year of the Medium Term Business Plan. Beyond this, we are looking to achieve a medium-term target of more than ¥100 billion in operating profit and more than ¥70 billion in profit attributable to owners of the company by fiscal 2021. Symbol: Climate Event Input: In 2019, AP6 compiled its first high-level analysis of physical climate risks in the portfolio. Although it does not go into great depth, it does indicate that there are medi- um-high risks in nearly half of the portfolio. It is not currently possible for AP6 to, at the portfolio level, assess other climate-related risks like changes in consumer behavior or more regulation of products and emissions. Symbol: Not Climate Event Input: Water stress Household water scarcity caused by climate change is another physical risk, which is exacerbated by population growth and urbanisation. During periods of drought consumers may reduce their use of certain products including laundry detergents, shampoos and conditioners, and toilet cleaners as they are unable to access water to use them or experience declining water quality which limits their enjoyment and/or efficacy. While the overall impact of water stress on our sales, from both policy and physical impacts, was not found to be significant in our scenario analysis at a global level within the 2030 time horizon evaluated, the impacts we see in the short term tend to be more local. Symbol: Not Climate Event Input: Should there be any local special conditions that are not sufficiently addressed by the group or parent strategy, the AI should either raise them with the group or parent for a possible solution or address them locally. In this regard, communication channels should be in place to facilitate the process. Symbol: Climate Event Input: We are committed to net zero. At the same time, we cannot see a viable path to a 100 percent reduction in our greenhouse gas emissions based on our current or potential asset mix and technologies. Committing to 100 percent carbon- and methane-free operations, without adequate technology and forceful policy and regulatory prescriptions, would jeopardize our mandate to provide safe, reliable, and affordable energy to our customers. Symbol: Not Climate Event Input: Moreover, without expanding their risk profile, it is becoming increasingly difficult for insurers to obtain a return on invested premiums that will cover their future commitments. This pressure on business models has resulted in a swelling wave of mergers and acquisitions, now also involving non-traditional actors such as private equity funds. Symbol: Climate Event Input: LafargeHolcim is exposed to a variety of regulatory frameworks to reduce emissions. In addition, a perception of the sector as a high emitter could impact our reputation, thus reducing our attractiveness to investors, employees and potential employees. Based on TCFD framework and risk categorization, LafargeHolcim assesses all climate-related risks. See page 67 the most relevant risks associated with our business. Symbol:	Not Climate Event
Input: 2 . As a further decarbonization driver, Eni intends to develop circular economy initiatives aimed at enhancing waste and biomass to extract new energy, new products or materials and to give new life to decommissioned or reclaimed assets. Overall spending in the four-year period 2019-22 for decarbonization, the circular economy and renewables is approximately €3.6 billion including scientific and technological research activities designed to support these issues. Symbol: Not Climate Event Input: One of our We Mean Business commitments was to set a science-based emissions target independently approved by the Science- Based Target initiative (SBTi), and in 2017, we became the first company in Australia to do so. To date, we remain the only company in the Australian energy sector to have validated and approved science-based targets. Our targets cover not only Scope 1 and Scope 2 emissions but also Scope 3 emissions. We have also long supported a net-zero emissions target for the electricity sector by 2050 or earlier. Symbol: Not Climate Event Input: Reputation Risk: This is the risk of loss of credibility due to internal or external factors and is often related to, or results from, other categories of risk. This risk can arise from our internal business practices or those of our business partners or the companies in which we invest. Business partners include third parties hired to perform some of our administrative functions as well as investment organizations with which we have a contractual arrangement. A loss of reputation could impact our position as a partner, investor and employer of choice and impede our ability to execute our strategy. Symbol: Climate Event Input: If Philips is unable to ensure effective supply chain management, e.g. facing an interruption of its supply chain, including the inability of third parties to deliver parts, components and services on time, and if it is subject to rising raw material prices, it may be unable to sustain its competitiveness in its markets. Symbol: Climate Event Input: Safety and operational risks Process safety, personal safety, and environmental risks – exposure to a wide range of health, safety, security and environmental risks could cause harm to people, the environment and our assets and result in regulatory action, legal liability, business interruption, increased costs, damage to our reputation and potentially denial of our licence to operate. Symbol: Not Climate Event Input: This broad, detailed study found BNP Pari- bas' business model to be resilient to these risks, with respect to: o its businesses, and the sector and geographic classifications of its portfolios; o the measures taken to mitigate these risks. Symbol: Climate Event Input: For NN’s residential mortgage portfolio, we analysed physical risks. Physical risks for mortgages in the Netherlands are mainly related to damage caused to properties by flooding events (including surface water flooding caused by heavy rainfall, river flooding, and coastal flooding). These events could either lead to a value decrease of collateral and/or impact on the ability of a houseowner to pay their mortgage. Symbol: Not Climate Event Input: The COVID-19 pandemic rapidly introduced an array of new and elevated risks to the safety of our people, the resilience of our operations, the strength of our balance sheet and the financial security of our customers and the community. Action has been required to address these risks, particularly in the following areas: Symbol: Climate Event Input: The cement industry is associated with high CO2 intensity and LafargeHolcim is exposed to a variety of regulatory frameworks to reduce emissions, some of which may be under revision. These frameworks can affect the business activities of LafargeHolcim. In addition, a perception of the sector as a high emitter could impact our reputation, thus reducing our attractiveness to investors, employees and potential employees. Symbol:	Not Climate Event
Input: Accordingly, data for FY2019 is not consistent with data for FY2018 or preceding fiscal years. 3.Data for FY2016 regarding CO2 emissions from Showa Shell business sites is not publicly disclosed. 4.In line with a change in the end of fiscal year, Showa Shell’s FY2018 data is based on emissions during the 15-month period from January 1, 2018 to March 31, 2019. Symbol: Not Climate Event Input: Operational risks are inherent in the Barclays Bank Group’s business activities and it is not cost effective or possible to attempt to eliminate all operational risks. The Operational Risk Framework is therefore focused on identifying operational risks, assessing them and managing them within the Barclays Bank Group’s approved risk appetite. Symbol: Climate Event Input: IDB Invest and Canada launched the second phase of the Canadian Climate Fund for the Private Sector in the Americas (C2F) project, a mixed climate finance program with a gender focus for Latin America and the Caribbean. It is expected to leverage up to US$1 billion in private sector investments in areas such as renewable energy, sustainable agriculture and forestry to help the region’s most vulnerable population segments, especially women and young girls, to better prepare and adapt to climate change. Symbol: Not Climate Event Input: 5.2.11 Conflict minerals: issues further down the chain In line with Philips’ commitment to supply-chain sustainability, we are concerned about the situation in eastern DRC (the Democratic Republic of the Congo), where proceeds from the mining sector are used to finance rebel conflicts in the region. Philips does not directly source minerals from the DRC and the mines are typically seven or more tiers away from our direct suppliers. Philips nevertheless feels obliged to address this issue through the means and influencing mechanisms available to us. Symbol: Climate Event Input: This figure included €153 million worth of assets in the Artemis office portfolio which comprises 33 assets, covering 360,000 sqm, in five different European countries. Over the rest of the portfolio, a further €255 million of assets are contracted and currently in the process of being onboarded during the first half of this year and will add to AUM during FY18. Symbol: Climate Event Input: Page 44 • Physical risks: There could be significant physical risks from climate change under both our 4°C and 1.5°C scenarios. These risks could be driven by increased temperature, increased storm intensities, sea level rise and changes in rainfall amount, seasonality and the intensity of extreme events. The types of change are similar under the two scenarios, but their expressions could be much more severe under the 4°C scenario. Symbol: Not Climate Event Input: The types of events that give rise to reputation risk are broad and could be introduced in various ways, including by the Firm’s employees and the clients, customers and counterparties with which the Firm does business. These events could result in financial losses, litigation and regulatory fines, as well as other damages to the Firm. As reputation risk is inherently difficult to identify, manage, and quantify, an independent reputation risk management governance function is critical. Symbol: Climate Event Input: OPG’s total forecast capital expenditures for the 2018 year are approximately $2.1 billion. This includes amounts for the Darlington Refurbishment project, hydroelectric and other development projects including the Ranney Falls GS redevelopment and construction of the Nanticoke solar facility, and sustaining capital investments across the generating fleet. OPG’s major projects are discussed in the section, Project Excellence. Symbol: Not Climate Event Input: MARKE T: As the carbon debate intensifies, cement and concrete could be challenged by our customers as the building material of first choice because of perceived high embodied CO2. In the long term, should regulatory frameworks fail to incentivize consumption of low-carbon products, customers may be unwilling to pay for additional costs and the cement sector’s low-carbon roadmap might be compromised. Symbol:	Not Climate Event
Input: In addition, we have been gradually introducing RPA, which uses robots to automate a series of tasks previously performed by employees, resulting in a reduction in work hours of approximately 300,000 hours in the fiscal year ended March 31, 2020. Going forward, we will continue to promote automation and labor savings in data input operations to improve administrative efficiency. Symbol: Climate Event Input: Blended Finance Catalyst Pool In 2018, we launched our Blended Finance Catalyst Pool to mobilize additional private capital to help address the U.N. Sustainable Development Goals. This financing initiative provides $60 million of capital for Affordable and Clean Energy (SDG7), Sustainable Cities and Communities (SDG11), Clean Water and Sanitation (SDG6), and Climate Action (SDG13), among others. Symbol: Not Climate Event Input: In our Electricity Transmission business, we propose £1.35 billion of expenditure to connect new generation and transport electricity across the country to where it is consumed, connect us to neighbouring electricity markets and support the Electricity System Operator in being able to operate a zero-carbon electricity system by 2025. Whilst consistent with Ofgem’s business plan criteria, we recognise that these investments alone are insufficient to deliver net zero targets and have therefore proposed whole system options to accelerate progress towards net zero, for example through ultra-rapid vehicle charging at motorway service areas. As the optimal path to achieving net zero is unclear, we developed a series of uncertainty mechanisms that allow our plans to flex to deliver against the range of low-carbon system developments our customers could bring forward. Symbol: Not Climate Event Input: Our risk assessment Rising average annual temperatures could lead to higher cooling costs for our business and our customers. More erratic temperature changes could lead to strain or failure of our mechanical heating and cooling systems. Storms could lead to higher maintenance costs. And flooding, both inland and coastal, could lead to direct damage to our properties. All of these hazards can affect our customers’ business continuity. Symbol: Not Climate Event Input: Economic and financial results in the four-year plan: the adjusted operating profit expected at €0.9 billion in 2021; cumulated free cash flow at €2.1 billion in 2018-2021. ● Reducing refining break-even margin at approximately 3 $/barrel by the end of 2018. ● Completion of the Gela conversion in biorefinery and the development of the second phase of the Venice biorefinery. ● Strengthening of marketing activities in countries of presence. ● Focus on digitalization to optimize operations and enhance efficiencies. Symbol: Climate Event Input: IFC is helping reverse that decline. In 2018, we launched a Maximizing Finance for Development initiative — working with other members of the World Bank Group — to finance a $12 million solar project in Gaza to ease the energy shortage. The 7-megawatt rooftop solar-power plant will provide critical energy to 32 factories in the Gaza Industrial Estate — much more cheaply than before. The project will create around 800 jobs. Symbol: Not Climate Event Input: An inclusive culture at 3M is built on our Be Respectful Principles - to respect the dignity and worth of individuals; encourage the initiative of each employee; challenge individual capabilities; and provide equal opportunity. Symbol: Climate Event Input: The ability to enable a fast and effective response to, and recovery from, disruptive events. The effectiveness of this element is determined by the thoroughness of efforts to plan, prepare and exercise in advance of events. Symbol: Climate Event Input: Net CO2 emissions (kg per ton of cementitious material) Net CO2 emissions are CO2 emissions from the calcination process of the raw materials and the combustion of traditional kiln and non-kiln fuels. Cementitious materials refer to clinker production volumes, mineral components consumed in cement production and mineral components processed and sold externally. Symbol:	Not Climate Event
Input: Business Risk Business risk describes the risk we assume due to potential changes in general business conditions, such as our market environment, client behavior and technological progress. This can affect our results if we fail to adjust quickly to these changing conditions. Business risk consists of strategic risk, tax risk and refinancing risk, of which only strategic risk is assessed as material. Symbol: Climate Event Input: Based on these metrics, BNP Paribas set interme- diate targets for itself. The long-term ambition is clear (to align its businesses with the Paris Agree- ment goals), but to achieve that ambition calls for short and medium-term targets in more specific bu- siness lines, allowing the Group to steer its various business operations with greater precision. Symbol: Not Climate Event Input: Detailed information on emissions is provided under the sustainability risk management heading in the Risk review section of this report, as well as in the bank's 2019 Non-Financial Data & Engagement report; A Our commitment for renewable energy to comprise at least 20% of our energy portfolio in 2022 with the help of our Energy Transition Fund. Symbol: Not Climate Event Input: In addi- tion, analyses of various trends will be performed periodi- cally in the future in order to revise assessments and disclose information on risks and opportunities related to other areas. Symbol: Climate Event Input: In our outlook for impacts on our clients' business, we employed two scenarios: a static scenario which assumes that no attempt is made to transform the present business structure, and a dynamic scenario under which the business structure is transformed. Symbol: Climate Event Input: In 2019, PME redesigned the passively managed equity portfolio of equities in developed countries. The starting point of the new portfolio is that PME knows what we are investing in and why. The contribution of beneficiaries was important in this matter, as was the reduction of climate risk in the equity portfolio. - Since the beginning of 2018, PME no longer invests in coal producers. PME is convinced that the business operations of mining companies that focus solely on coal are not future-proof and these producers therefore represent a risk to PME's investment portfolio. Investments are also no longer made in producers of tar sand oil. Its production is seen as too harmful to the environment by PME, and the fund cannot identify with this. - Engagement. MN conducts a dialogue on behalf of its clients with companies in the equity portfolios that, in absolute terms, contribute a great deal to the portfolio's carbon footprint. MN does so in collaboration with Climate Action 100+. - Mandatory participation in the GRESB sustainability benchmark for real estate investments. Symbol: Not Climate Event Input: Our offerings are designed to meet the specific needs of IFC clients in different industries — with a special focus on infrastructure, manufacturing, agribusiness, services, and financial markets. In FY18, we made $11.6 billion in long-term investments in 366 projects. In addition, we mobilized nearly $11.7 billion to support the private sector in developing countries. Symbol: Climate Event Input: Since November 2019, Aviva France has committed to not invest in companies developing new coal mining projects or are planning a substantial increase of its annual (thermal) coal production volume; companies with 20% of their revenue coming from coal-related Aviva Investors' $44bn Real Assets platform comprises equity and debt investments in both real estate and infrastructure, with a concentration of assets in Europe and a growing interest in developing countries. Symbol: Not Climate Event Input: Disengaging and divesting from thermal coal, oil sands and oil shale Fossil fuels emit carbon dioxide (CO2) when burned and extracting them can harm the environment. We are working with customers and companies in which we invest that have more than 30 percent exposure to thermal coal, oil sands and oil shales to help them to reduce their use and exposure to these fuels. Zurich will also generally no longer underwrite or invest in companies generating more than 30 percent of their revenue from mining or more than 30 percent of their electricity from thermal coal. Symbol:	Not Climate Event
Input: – Omissions Emissions associated with joint ventures and investments are not included in the emissions disclosure as they fall outside the scope of our operational boundary. We do not have any emissions associated with heat, steam or cooling. We are not aware of any other material sources of omissions from our emissions reporting. Symbol: Not Climate Event Input: Business Risk Business risk describes the risk we assume due to potential changes in general business conditions, such as our market environment, client behavior and technological progress. This can affect our results if we fail to adjust quickly to these changing conditions. Business risk consists of strategic risk, tax risk and refinancing risk, of which only strategic risk is assessed as material. Symbol: Climate Event Input: Creating value Measuring our reputation KPI FY19 FY18 FY17 FY16 FY15 AGL‘s Reptrak score declined since FY18. The drop in AGL‘s reputation over the past year has been driven by declining scores on three important dimensions of reputation – leadership, workplace and citizenship. This decline in reputation was consistent with scores across the energy industry as a whole. Symbol: Climate Event Input: In 2019, with a focus on its financing portfolio(2), EDC set a target to reduce its exposure to the most carbon intensive sectors by 15 per cent over five years against a December 31, 2018 baseline. As a result of this reduction, the carbon intensive exposure of EDC’s financing portfolio at December 31, 2023 is targeted to reduce to $18.9 billion(3), a decrease of approximately $3.3 billion over the five-year period. Symbol: Not Climate Event Input: For many investors, climate change poses significant financial challenges and opportunities. The expected transition to a lower carbon economy is estimated to require around £2.7 trillion, on average, in energy sector investments a year for the foreseeable future, generating new investment opportunities. At the same time, the risk return profile of companies exposed to climate-related risks may change significantly because of physical impacts of climate change, climate policy or new technologies. Symbol: Not Climate Event Input: JPMorgan Chase believes that companies must do even more to help solve today’s biggest challenges and create economic opportunity for more people. To do so, they must invest in communities the same way they invest in their own businesses. As announced in early 2018, our firm will deploy $1.75 billion by 2023 to drive inclusive growth in communities around the world. Generating Return on Community is one of our core objectives because we know that the future of our company depends on the well-being of our communities. Symbol: Climate Event Input: CO 2 eq/kboe) due to the contribution to reduction of the upstream sector and an improvement of around 2% of the EniPower and Refining & Marketing performance indexes. Although the target for reduction set for 2021 has already been achieved, Eni will continue to strive towards progressive improvement over the coming years. In 2019, Eni has proceeded with the investment plan both in projects aiming directly at increasing energy efficiency of assets (over €8 million) and in development and revamping projects with significant impacts on the energy performance of businesses. The actions taken during the year, when fully operational, will allow fuel savings of 303 ktoe/year (mainly in the upstream sector), to which 25 GWh/year of savings on purchases of electricity and steam must be added. The benefit in terms of lower emissions will be around 0.8 million tonnes of CO Symbol: Not Climate Event Input: In 2018, CN spent approximately $3.5 billion in its capital program, with $1.6 billion invested to maintain the safety and integrity of the network, particularly track infrastructure. CN's capital spending also included $1.0 billion on strategic initiatives to increase capacity, enable growth and improve network resiliency, including line capacity upgrades and information technology initiatives, $0.5 billion on equipment capital expenditures, including the acquisition of 500 new centerbeam cars and 65 new high-horsepower locomotives, and $0.4 billion on implementation of Positive Train Control (PTC), the safety technology mandated by the U.S. Congress. Symbol: Climate Event Input: Risks to the Group’s reputation Risks include acts or omissions by the Group or any of its employees that could damage the Group’s reputation or lead to a loss of trust among its stakeholders. Every risk type has potential consequences for Zurich’s reputation. Effectively managing each risk type supports preventing adverse reputation outcomes. Symbol:	Climate Event
Input: RISK TOLERANCE We have a low tolerance for risk, when it comes to protecting the human and environmental resources we all depend on. However, given the long-term nature of some sustainability risks and the level of uncertainty associated with their occurrence and impact, we accept that some risks are inevitable. We therefore focus on helping to minimise global risks while building resilience in our operations and supply chain. EXAMPLES OR RISKS • Resource scarcity, coupled with increasing demand, could affect the production, availability, quality and cost of raw materials. • Increased frequency of extreme weather events, from floods to droughts, could cause disruption in our supply chain and impact our business model by changing the sourcing of raw materials, as well as the production and distribution of finished goods. • Increased regulation and more stringent environmental standards could impact our business by affecting production costs and flexibility of operations. • Our industry is sustained by many agricultural and manufacturing communities around the world. Failure to support them in preserving key skills and building more sustainable livelihoods could cause social, economic and operational challenges, from community tensions and disruption to production to a reduced talent pool. Symbol: Not Climate Event Input: DRAFT 1 d4a Changing regulatory requirements AnnualReport- We take our regulatory obligations seriously and manage non-compliance with regulatory requirements as a risk, with supporting risk appetite statements set by the Board. Symbol: Climate Event Input: We anticipate that the potential effects of climate change may impact the decisions and analysis the employees in our Real Estate businesses make with respect to the properties they evaluate or manage on behalf of clients since climate change considerations may impact the relative desirability of locations and the cost of operating and insuring the properties. Future legislation that requires specific performance levels for building operations could make non-compliant buildings more expensive, which could materially affect investments in properties we have made on behalf of clients. Symbol: Not Climate Event Input: Sector restrictions For the sector specific restrictions, the following definitions should be applied: i) 'Financing': all lending, underwriting, issuance of debt and equity, trade and working capital finance; ii) 'Directly finance projects' refers to project finance or other lending/ underwriting where the use of proceeds is known to be for a particular project. http://home.barclays/annualreport Symbol: Climate Event Input: An additional advantage of these programs is increased pilot diversity, something the industry currently lacks (see 'Case Study: JetBlue Foundation'). Across all of our above mentioned programs, 7% of pilots are women, almost double the national average for airline transport. In Gateway Select, 20% of the pilots in our program are from underrepresented groups, about five times the national average. Symbol: Climate Event Input: In addition, the impacts of physical and transition climate risks can lead to second order connected risks, which have the potential to affect the Barclays Bank Group’s retail and wholesale portfolios. The impacts of climate change may increase losses for those sectors sensitive to the effects of physical and transition risks. Any subsequent increase in defaults and rising unemployment could create recessionary pressures, which may lead to wider deterioration in the creditworthiness of the Barclays Bank Group’s clients, higher ECLs, and increased charge-offs and defaults among retail customers. Symbol: Not Climate Event Input: 42_ Scope 1 concerns direct emissions from the combustion of fossil fuels, such as gas, oil, coal, etc. Scope 2 covers indirect emissions related to the consumption of electricity, heat or steam required to manufacture a product. Scope 3 concerns other indirect emissions, such as the extraction of materials purchased by the company to manufacture a product or the transport-related emissions of employees and of customers who buy the product. This is the largest share of a company’s emissions. Symbol: Not Climate Event Input: Regulatory developments Globalization affects the insurance industry as well as its customers. Although many of today’s risks are globally interconnected and the largest insurers operate globally, insurance regulation is still mainly focused on national markets. From a global perspective, the regulatory framework is fragmented. This threatens the efficient use of capital and makes it harder for global insurers to fulfil their potential as bearers of risk. As a global insurer, Zurich advocates a consolidated group-wide approach to regulation, such as the International Association of Insurance Supervisors’ Common Framework for the Supervision of Internationally Active Insurance Groups initiative. Symbol: Climate Event Input: Climate-related physical risks Changes are expected in the frequency, severity and geographical distribution of extreme weather events such as tropical cyclones and extreme rainfall and associated flooding or heat waves in the event that society fails to limit climate change to well below an increase of two degrees Celsius. Scientific consensus suggests society is likely to experience devastating impacts as a result of these changes. Current climate models, such as the International Panel on Climate Change (IPCC) model upon which Zurich bases its internal climate scenarios, indicate that physical climate-change risk will begin to rise more materially after the next two decades if left unmitigated. Symbol:	Not Climate Event
Input: However, in France, employees are involved in the Bank's long-term development through profit-sharing and/or incentive schemes. They are linked to the Company's overall performance (financial and non-financial) and regulated by Societe Generale agreements signed with the trade unions every three years. For Societe Generale SA in France, out of the total amount of profit-sharing and incentives paid in 2018 for the financial year 2017, 4% was relating to Symbol: Climate Event Input: On top of this, we issued our first green bond for €1,000 million as a starting point for a global plan on sustainable emissions. The net proceeds will be divided between existing wind and solar assets on Santander balance sheet and new assets of the same nature that will be added. The re-financing share will be less than 50% during the term of the bond. Symbol: Not Climate Event Input: R I S K - I N F O R M E D D E C I S I O N M A K I N G To achieve our business objectives and performance goals, we must ensure that our business strategies are aligned with the risks we face. Symbol: Climate Event Input: The Bank acknowledges that climate change may have an impact on its financial planning process. As a result, it will roll out a scenario analysis program over the coming years to account for how environmental impacts may affect analyses of income and operating expenses, investments, capital distribution, potential acquisitions or divestitures and access to capital, among other factors. Symbol: Not Climate Event Input: In December 2019, we established a new suite of 2025 operational sustainability goals with a focus on strategic, collaborative partnerships that drive market transformation, as outlined in our Sustainability Report. The firm has been a member of RE100 since 2015 and recently joined additional initiatives EV100 and EP100 with ambitious commitments to electrify transport and deploy smarter energy use - making us the first US company to become a member of all three of The Climate Group's global corporate leadership initiatives to accelerate the clean energy transition. https://unfccc.int/process-and-meetings/the-paris-agreement/the-paris-agreement https://obamawhitehouse.archives.gov/climate-change/pledge https://obamawhitehouse.archives.gov/climate-change/pledge https://bteam.org/our-thinking/news/30-major-ceos-call-on-trump-stay-in-paris https://www.unitedforparisagreement.com/ https://www.linkedin.com/pulse/our-commercially-driven-plan-sustainability-david-m-solomon/ https://clcouncil.org/ https://www.bloomberg.com/cfli/ https://data.bloomberglp.com/company/sites/55/2019/09/Financing-the-Low-Carbon-Future-CFLI-Full-Report-September-2019.pdf https://oneplanetswfs.org/download/23/online-publication/810/one-planet-asset-managers-statement-19-07-10.pdf https://www.goldmansachs.com/s/sustainability-report/ http://there100.org/ https://www.theclimategroup.org/project/ev100 https://www.theclimategroup.org/ep100 https://www.theclimategroup.org/ Symbol: Not Climate Event Input: To ensure we meet our targets, we use an internal carbon price of €25 per metric tonne of CO2 to guide decision-making, hold regular reviews to confirm that we adhere to all our internal standards and external environmental laws and regulations, and have third parties annually audit our environmental management systems and all bottling plant data. Symbol: Not Climate Event Input: The CFO convened a Scenario Discussion Workshop where members of senior leadership discussed the Company's current state, considered possible future scenarios, identified different risks and opportunities within these scenarios, and discussed the financial implication of these impacts on the Company. Symbol: Climate Event Input: The process is continuous and dynamic and provides for the following sub-processes: (i) risk governance, methods and tools, (ii) risk strategy, (iii) integrated risk management, (iv) risk knowledge, training and communication. Symbol: Climate Event Input: Zurich could be exposed to transition risks if it fails to manage changing market conditions and customer needs as part of the transition to a low-carbon economy, resulting in asset impairment, opportunity cost and lost market share. In a transition scenario, industries unable to de-carbonize could experience declining profitability and lack of re-financing, which could lead to a lack of maintenance with increasing rates of outages and equipment break-downs that translate into higher insurance losses. Failure to manage transition risk could also lead to reputational impacts, both internal and external, resulting from a failure to deliver on publicly stated commitments. Although not considered material in the near-term, the increasing frequency of climate-related legal action suggests climate-related litigation could represent a significant potential risk in the long term. Symbol:	Not Climate Event
Input: Megatrend As the world’s population becomes increasingly urbanized, infrastructure development and renewal will be unable to keep up, and major social issues such as housing shortages, traffic paralysis, and air pollution will only worsen. In newly emerging nations, environmental awareness will increase as the economy grows, and investments into environmental measures will proceed at the national and the global levels. Symbol: Not Climate Event Input: CORPORATE AND HOUSEHOLD DEBT 25 carried out a benchmark study of the banks’ calculated risk weights for exposures to commercial real estate. The results of the two analyses showed that there is a risk that the capital banks have earmarked for lending to commercial real estate will not sufficiently compensate for the credit losses that could arise following a severe financial stress. It is against this background that FI proposes higher capital requirements for lending to commercial real estate (see “Stability in the banking sector”). Symbol: Climate Event Input: PUBLIC POSITIONS AND PARTNERSHIPS ON ENERGY AND CLIMATE-RELATED ISSUES BNP Paribas firmly believes it is more effective to address the complex and global challenges of climate change by working together. With that in mind, the Group is a member of several coalitions on the front line of the fight against climate change, such as: - The Group belongs to the Breakthrough Energy Coalition, which supports innovation in the interest of deve- loping clean energy. Launched by Bill Gates during the Conference of the Parties - Climate Change 21 conference, the coalition combines innovative re- search funded by public-private partnerships; - BNP Paribas helped draft the Charter for Engagement 'Women leading climate action', of the Women's Forum, a charter that has now been signed by nearly 400 corporations, opinion leaders and other organisations. Symbol: Not Climate Event Input: In addition, we have been gradually introducing RPA, which uses robots to automate a series of tasks previously performed by employees, resulting in a reduction in work hours of approximately 300,000 hours in the fiscal year ended March 31, 2020. Going forward, we will continue to promote automation and labor savings in data input operations to improve administrative efficiency. Symbol: Climate Event Input: One of the commitments we assume in our Sustainability Plan is to invest a total of R$ 350 million in network automation by 2024. This will allow us to achieve significant reductions in supply interruptions and in dispatching teams on maintenance calls, benefiting customers with better quality and speed, at the same time that we reduce the environmental impacts of vehicle use and fuel consumption. Symbol: Not Climate Event Input: Data: Advancements in new technologies and new services, an increasing external threat landscape, and changing regulatory requirements increase the need for the Group to effectively govern, manage, and protect its data (or the data shared with third-party suppliers). Failure to manage data risk effectively can result in unethical decisions, poor customer outcomes, loss of value to the Group and mistrust. Symbol: Climate Event Input: We require all potential projects to be assessed for carbon intensity and emission reduction opportunities, at every decision phase – from exploration and business development to project development and operations. Furthermore, we require all projects to include a carbon price of at least USD 55 per tonne, to be resilient towards expected higher carbon taxes. Symbol: Not Climate Event Input: IFC expands the availability of such technologies by channeling investments toward private companies that build modern communications infrastructure and information-technology businesses. In FY18, we invested $376 million in initiatives related to technology, including funds mobilized from other investors — expanding our portfolio in this sector to more than $2.4 billion. Symbol: Climate Event Input: Climate change can pose material risks to sovereign debt due to its impact on national expenditures associated with disaster recovery from extreme weather events or preparedness through climate change mitigation and adaptation projects. Emerging market countries are particularly vulnerable since they often lack capital or have higher funding costs, which exacerbates the myriad risks that they already face. For example, many of these countries are vulnerable to food insecurity from both the impact of climate change on their own agricultural production and higher prices for imports. Our investment team members are increasingly focused on deepening their understanding of environmental risk in sovereigns and its complex links to fiscal and monetary conditions, which in turn affect bond yields and credit ratings. Symbol:	Not Climate Event
Input: Romania’s OMV Petrom SA. The project will result in considerable water savings and carbon emission reductions. In Georgia, meanwhile, a US$ 40 million (€33 million equivalent) loan was provided to support the expansion of gas filling stations that offer compressed natural gas (CNG), an environmentally friendly alternative to conventional fuels. Symbol: Not Climate Event Input: Risk and risk management Operational risk and compliance risk Operational risk is the risk of loss resulting from inadequate or failed internal processes, people and systems, or from external events including legal risk but excluding strategic and reputation risk. It also includes, among other things, technology risk, model risk and outsourcing risk. Symbol: Climate Event Input: The Audit Committee Charter states that the committee will 'discuss policies and procedures with respect to risk assessment and risk management, the company's major risk exposures, and the steps management has taken to monitor and mitigate such exposures.' The Vice President and General Auditor, Corporate Auditing, whose appointment and performance is reviewed and evaluated by the Audit Committee, is responsible for leading the formal risk assessment and management process within the company. Symbol: Climate Event Input: 8.2.12. As part of its approach to Responsible Investment, the Trustee considers a range of ESG risks, including corporate governance, human rights, bribery and corruption as well as labour and environmental standards. Of the environmental and social issues that we consider, we believe that climate change presents a material financial risk to the assets held in our portfolios. signed the Global Investor Statements to Governments on Climate Change. Symbol: Not Climate Event Input: The inte- rest rate on the loan is tied to two key perfor- mance indicators: (i) achieving a net positive impact on biodiversity in UPM's Finnish forests; (ii) reducing Carbon dioxide emissions generated from pur- chased fuel and electricity 65% by 2030 (com- pared to 2015 levels), in accordance with UPM's commitment to aligning its business with the 1.5 C climate scenario. Symbol: Not Climate Event Input: The potential impact of climate change as an environmental, social and governance challenge for the region is significant. The SADC region is particularly vulnerable to increased frequency of floods, cyclones and droughts which may damage infrastructure, destroy agricultural crops, disrupt livelihoods and cause loss of life. These impacts will increasingly influence investment and insurance decisions. Symbol: Not Climate Event Input: Operational risks are inherent in the Barclays Bank Group’s business activities and it is not cost effective or possible to attempt to eliminate all operational risks. The Operational Risk Framework is therefore focused on identifying operational risks, assessing them and managing them within the Barclays Bank Group’s approved risk appetite. Symbol: Climate Event Input: The sensitivity analysis does not show a comprehensive picture of all potential scenarios. Further, variables do not tend to move in isolation, nor in a uniform or consistent manner, and the analysis does not show the potentially infinite number of permutations, and resultant impacts, that might arise in reality as a consequence. Symbol: Climate Event Input: We may be subject to unionization, work stoppages, slowdowns or increased labor costs and the unionization of the Company’s pilots and inflight crewmembers could result in increased labor costs. Our business is labor intensive and the unionization of any of our crewmembers could result in demands that may increase our operating expenses and adversely affect our financial condition and results of operations. Any of the different crafts or classes of our crewmembers could unionize at any time, which would require us to negotiate in good faith with the crewmember group’s certified representative concerning a collective bargaining agreement. In addition, we may be subject to disruptions by unions protesting the non-union status of our other crewmembers. Any of these events would be disruptive to our operations and could harm our business. Symbol:	Climate Event
Input: Over the past several years, changing weather patterns and climatic conditions, including as a result of global warming, have added to the unpredictability, frequency and severity of natural disasters and created additional uncertainty as to future trends and exposures. In particular, the consequences of climate change are expected to significantly impact the insurance industry, including with respect to risk perception, pricing and modeling assumptions, and need for new insurance products, all of which may create unforeseen risks not currently known to us. Symbol: Not Climate Event Input: For example, in 2019 CN spent $0.9 billion on the acquisition of 154 efficient highhorsepower locomotives, as well as fuel conservation practices, such as locomotive shutdowns in yards, streamlined railcar handling, train pacing, coasting and braking strategies. Symbol: Not Climate Event Input: We made three key commitments to deal with key land, urban and industry shifts. These included launching a partnership with ClimateWorks Australia to develop sustainable agricultural metrics to improve natural asset management, investing $2 billion in affordable housing and investing $2 billion in the emerging technology sector to spur innovation by 2025. Symbol: Not Climate Event Input: We may be subject to unionization, work stoppages, slowdowns or increased labor costs and the unionization of the Company’s pilots and inflight crewmembers could result in increased labor costs. Our business is labor intensive and the unionization of any of our crewmembers could result in demands that may increase our operating expenses and adversely affect our financial condition and results of operations. Any of the different crafts or classes of our crewmembers could unionize at any time, which would require us to negotiate in good faith with the crewmember group’s certified representative concerning a collective bargaining agreement. In addition, we may be subject to disruptions by unions protesting the non-union status of our other crewmembers. Any of these events would be disruptive to our operations and could harm our business. Symbol: Climate Event Input: Should there be any local special conditions that are not sufficiently addressed by the group or parent strategy, the AI should either raise them with the group or parent for a possible solution or address them locally. In this regard, communication channels should be in place to facilitate the process. Symbol: Climate Event Input: Sector restrictions For the sector specific restrictions, the following definitions should be applied: i) 'Financing': all lending, underwriting, issuance of debt and equity, trade and working capital finance; ii) 'Directly finance projects' refers to project finance or other lending/ underwriting where the use of proceeds is known to be for a particular project. http://home.barclays/annualreport Symbol: Climate Event Input: 14 those related to our products and services, demand and distribution, financial performance, credit rating and debt obligations. Given that developments concerning the COVID-19 pandemic have been constantly evolving, additional impacts and risks may arise that we are not aware of or able to appropriately respond to at this time. Symbol: Climate Event Input: BNP Paribas has analysed climate scenarios developed by several external organisations and selected a few. The Group predominantly uses the scenarios developed by the IEA and the IPCC22 and, for France, the EpE's ZEN2050 analysis, which modelled a possible pathway enabling France to become carbone neutral by 2050. For several years, BNP Paribas has published, in its Registration Document, a yearly comparison of the energy mix that the Group finances with the energy mix in the IEA scenario compatible with the Paris Agreement goal. This scenario includes only energy-related emissions, but is one of the most widely recognised scenarios used around the world. For 2018 and 2019, Symbol: Not Climate Event Input: If we are unable to attract and retain qualified personnel or fail to maintain our company culture, our business could be harmed. We compete against other major U.S. airlines for pilots, mechanics, and other skilled labor; some of them offer wage and benefit packages exceeding ours. As more pilots in the industry approach mandatory retirement age, the U.S. airline industry may be affected by a pilot shortage. We may be required to increase wages and/or benefits in order to attract and retain qualified personnel or risk considerable crewmember turnover. If we are unable to hire, train, and retain qualified crewmembers, our business could be harmed and we may be unable to implement our growth plans. Symbol:	Climate Event
Input: Beith: Stranded carbon assets was the underappreciated risk back then. Today it’s policy risk. There’s a palpable sense of grass-roots alarm as we see real-world, real-time effects of climate change, and that could create a policy tipping point where governments have historically been skeptical. That is the case next door to us in Australia, with its devastating bush fires, but also in the U.S., where state and municipal governments have taken the lead while the federal government moves in the opposite direction. Those potential tipping points create substantial investment risk. Symbol: Not Climate Event Input: 4. While Canadian financial regulations are considered to be best in kind, they may pose an obstacle for financial institutions in adapting to the fintech ecosystem. The study found that there is a growing disconnect between regulations and the latest technological advances. Current regulations make it difficult for Financial Firms to undertake the low-level, rapid experimentation required to develop safe, useful fintech products and services. Symbol: Climate Event Input: Since 2017, we have been advancing our capabilities in climate scenario analysis: In 2018, RBC and 15 other financial institutions participated in a United Nations-led project to develop and publish methodologies for assessing the impact of future climate scenarios on our clients and loan portfolios. Symbol: Not Climate Event Input: Given how essential bonds are to the global economy — as a source of risk management and returns for investors, as a source of capital for companies and governments — the lack of structural innovations to the bond market for many years was surprising. For decades, bond markets largely stayed the same. And in fact, investing in bonds became more difficult following the global financial crisis, as greater regulatory oversight and capital restrictions significantly reduced banks’ balance sheets and as a result, bond inventories. Symbol: Climate Event Input: During the next 15 years, we expect to add thousands of megawatts of solar energy and gas-fired generation capable of ramping up and down quickly to ensure a reliable grid. This includes 300 megawatts of renewable energy that would power a large Facebook data center under development on the outskirts of Richmond. These clean energy investments could total more than $500 million per year. Symbol: Not Climate Event Input: In the case of substantial risks at sector level in the field of corporate and project financing, the reporting chain is as follows: Similar mechanisms exist for banking risks, country risks, market price risks and operational risks. Symbol: Climate Event Input: Data: Advancements in new technologies and new services, an increasing external threat landscape, and changing regulatory requirements increase the need for the Group to effectively govern, manage, and protect its data (or the data shared with third-party suppliers). Failure to manage data risk effectively can result in unethical decisions, poor customer outcomes, loss of value to the Group and mistrust. Symbol: Climate Event Input: The Bank signed five transactions worth a total of €47 million under its Green Cities Framework in support of environmentally friendly municipal investments. Projects included financing for an electric bus fleet in Batumi, Georgia, and for a biomass-fuelled district heating plant in Banja Luka, Bosnia and Herzegovina. A wide range of donors provide funding in support of the Framework. Symbol: Not Climate Event Input: Operational risks Operational risks relate to the losses resulting from inadequate or failed internal processes, people and systems, or due to external events. These risks normally fall within our low-risk appetite level as there is no strategic benefit from accepting the risk and accepting that it is not in line with our vision and values. Symbol:	Climate Event
Input: These sector-specific policies are usually developed by the AI taking into account relevant industry certification schemes, international practices, its strategy, level of exposure to the particular sector, and even its engagement with customers, industry experts, shareholders and the community. Symbol: Climate Event Input: Accordingly, we have defined the associated risks and opportunities from a medium- to long-term perspective looking to 2030 and beyond rather than based on the short-term timeframe of the three-year medium-term management plan. Symbol: Climate Event Input: By their very nature, these forward-looking statements require assumptions to be made and involve inherent risks and uncertainties, both general and specific. Assumptions about the performance of the Canadian and U.S. economies in 2020, including in the context of the COVID-19 pandemic, and how that affect the Bank's business are among the main factors considered in setting the Bank's strategic priorities and objectives. Symbol: Climate Event Input: The analysis of economic implications of climate change is fraught with difficulty, and it is impossible to survey all potential impacts of climate change as no existing scenario or model can fully describe the workings of the entire physical world and how all physical, chemical, geological and biological processes influence each other. Impacts of climate changes will thus depend on how rapidly they occur, how large the changes are, as well as the adaptability of societies and ecosystems. As such, many analyses are based on factors that lend themselves to some degree of quantification, but climate change will also have effects which are difficult to quantify, or which cannot meaning- fully be quantified. Symbol: Not Climate Event Input: Finally, prolonged and multiple periods of heatwaves or other consequences of rising temperatures may result in increased mortality and morbidity, thereby impacting our life and income insurance liabilities. Long-term threats are difficult to predict, but at this time, we expect this to have less impact on our life and income insurance liabilities than other risks, such as changes in demographics or pandemics. It should be noted though that whilst pandemic outbreaks can be attributed to a number of interrelated factors, climate change is likely to increase the risks by spreading of disease vectors into areas that formerly did not experience these. Symbol: Not Climate Event Input: – The Badgingarra Wind Farm is a 130MW wind farm, to be built at an estimated cost of $315 million, on the site adjacent to the existing Emu Downs Wind Farm (final condition precedent expected to be met in August 2017). Alinta Energy has entered into a 12-year offtake agreement for both the energy and the LGCs, commencing January 2019. Symbol: Not Climate Event Input: 2017 (36.01 tonCO 2 eq/kboe). This reduction already makes it possible to achieve the 2021 target, but Eni is nonetheless set on pursuing an improvement of at least 2% per annum in coming years as well. In addition to the upstream results already mentioned, this reduction was also made possible by a reduction in the emission intensity of refineries even with an increase in the performance index of EniPower. In 2018, Eni invested about €10 million in energy efficiency projects, which, once in full operation, will yield energy savings of 313 ktoe/year, amounting to a reduction in emissions of around 0.8 million tonnes of CO Symbol: Not Climate Event Input: Under the Strategic Plan 2018-2022, the company continues to optimise the businesses through additional efciency measures, with the commitment to cut annual operating expenses by Euros 500 million in 2022. These efciencies are focused on an analysis of the company's non-core activities and on the assignment of operational functions within each of the business units, all supported by the ongoing digitalisation processes. Symbol: Climate Event Input: Scope 3 greenhouse gas emissions Scope 3 emissions are indirect greenhouse gas emissions as a consequence of the operations of the Company, but are not owned or controlled by the Company, such as emissions from third-party logistics providers, waste management suppliers, travel suppliers, employee commuting, and combustion of sold gas by customers. Symbol:	Not Climate Event
Input: Cities account for 75 per cent of worldwide greenhouse gas (GHG) emissions. EBRD Green Cities, a programme that supports sustainable urban planning and investment, is central to Bank efforts to curb climate change. Under the initiative in 2018, the EBRD invested €265 million in 10 projects which together are expected to reduce GHG emissions by 319,000 tonnes annually. Donors help to fund the action plans that are the centrepiece of EBRD Green Cities and other aspects of the programme. Symbol: Not Climate Event Input: JPMorgan Chase believes that companies must do even more to help solve today’s biggest challenges and create economic opportunity for more people. To do so, they must invest in communities the same way they invest in their own businesses. As announced in early 2018, our firm will deploy $1.75 billion by 2023 to drive inclusive growth in communities around the world. Generating Return on Community is one of our core objectives because we know that the future of our company depends on the well-being of our communities. Symbol: Climate Event Input: Sector restrictions For the sector specific restrictions, the following definitions should be applied: i) 'Financing': all lending, underwriting, issuance of debt and equity, trade and working capital finance; ii) 'Directly finance projects' refers to project finance or other lending/ underwriting where the use of proceeds is known to be for a particular project. http://home.barclays/annualreport Symbol: Climate Event Input: We may be impacted by the long term effects of climate change, including: • increased severity or regularity of extreme weather events which may result in business disruptions, changing supply conditions, safety risks for our team members and customers, and damage to our physical assets and transport infrastructure; • changes to global policy and government regulations; and • changes to customer needs, preferences and behaviours. Symbol: Not Climate Event Input: In January 2020, GSF and Morgan Stanley Research convened our inaugural Cross-Divisional Forum on Climate Change. This collaboration brought together Morgan Stanley's experts on climate-related risks and opportunities across business units, including: - Institutional Securities Group: divisions represented included Investment Banking, Global Capital Markets, Institutional Equities, Fixed Income, Public Finance and Commodities - Wealth Management: joined by Wealth Management Investment Resources and Capital Markets - Investment Management: joined by portfolio managers from Private Credit and Equity, Real Assets and Alternative Investment Partners Symbol: Not Climate Event Input: During 2015, we emitted 23.4 million tonnes of Scope 1 (direct) CO2e emissions mainly from fuel usage. Our Scope 2 (indirect) CO2 emissions, totalled 13.7 million tonnes. Our Scope 3 emissions include emissions from a broad range of sources, including shipping, land transportation by third parties and the use of our energy products. Symbol: Not Climate Event Input: This long-term perspective is reflected in the choice of strategic portfolio, which includes both the long-term distribution of capital over various broad asset classes as well as strategies that determine the distribution within each asset class of individual securities. Symbol: Climate Event Input: The types of events that give rise to reputation risk are broad and could be introduced in various ways, including by the Firm’s employees and the clients, customers and counterparties with which the Firm does business. These events could result in financial losses, litigation and regulatory fines, as well as other damages to the Firm. As reputation risk is inherently difficult to identify, manage, and quantify, an independent reputation risk management governance function is critical. Symbol: Climate Event Input: Reputation: In managing our reputation we seek to avoid the loss of credibility due to internal or external factors. Many types of risk have the potential to negatively impact our corporate reputation. Internal business practices, or those of our business partners or the companies in which we invest, may generate reputation harm. Consequences include diminished brand efficacy in commercial markets, impeding our ability to execute our strategy and our status as investor, partner and employer of choice. Symbol:	Climate Event
Input: Our new policy measures outlined on page 1 will play a key role in shaping our portfolio over the coming years and help ensure we stay on track to meet our longer term goal. Symbol: Climate Event Input: For example, in 2019 CN spent $0.9 billion on the acquisition of 154 efficient highhorsepower locomotives, as well as fuel conservation practices, such as locomotive shutdowns in yards, streamlined railcar handling, train pacing, coasting and braking strategies. Symbol: Not Climate Event Input:  For asset management companies belonging to a Group (most of the tested sample), inadequate internal supervision of the services (relating to IT, cybersecurity and business continuity) performed by the parent company was identified. But the technical execution of these services by the Group cannot exempt asset management companies from their responsibilities regarding the definition (in priority) of the main risk areas and management of the relevant controls. Symbol: Climate Event Input: HayWired Resilient Business Challenge In 2018, JPMorgan Chase participated in the San Francisco HayWired Resilient Business Challenge, which is designed to help businesses increase their own preparedness and mitigate the impact an earthquake or other natural disaster could have on their ability to resume business activities. Symbol: Not Climate Event Input: IFC expands the availability of such technologies by channeling investments toward private companies that build modern communications infrastructure and information-technology businesses. In FY18, we invested $376 million in initiatives related to technology, including funds mobilized from other investors — expanding our portfolio in this sector to more than $2.4 billion. Symbol: Climate Event Input: Limitations and uncertainties This analysis is based on best available information. However, it is unable to overcome some important limitations and uncertainties. For example, climate change simulations currently have minimal ability to model extreme weather events. Similarly, agricultural impact models need to be further developed to test the bounds at which statistical relationships change. Symbol: Not Climate Event Input: These exercises highlight that not enough data are available for a bottom-up approach, assessing the vulnerabilities specific to Group clients and incorporating their response and remediation functions on a forward-looking basis. Symbol: Climate Event Input: Responding to the threats of climate change Our exposure to climate change falls into two broad categories. Physical risks, particularly to our property assets from severe weather events; and transition risks from the move to a low carbon economy, which will impact the value of investments associated with higher levels of greenhouse gas emissions. The two risks are linked. Continued emissions will increase physical risks, and limiting the impacts will require substantial emission reductions increasing transition risks. Symbol: Not Climate Event Input: The impact of climate change may over time affect the operations of the Group and the markets in which the Group operates. This could include physical risks such as acute and chronic changes in weather and/or transitional risks such as technological development, policy and regulatory change, and market and economic responses. Efforts to address climate change through laws and regulations, for example by requiring reductions in emissions of GHGs such as CO2, can create economic risks and uncertainties for the Group’s businesses. Such risks could include the cost of purchasing allowances or credits to meet GHG emissions caps, the cost of installing equipment to reduce emissions to comply with GHG limits or required technological standards, decreased profits or losses arising from decreased demand for the Group’s goods and higher production costs resulting directly or indirectly from the imposition of legislative or regulatory controls. Manifestation of these increased costs may increase the underlying cost of production of the Group’s products which may adversely impact the financial performance of the Group. Symbol:	Not Climate Event
Input: Reputation: In managing our reputation we seek to avoid the loss of credibility due to internal or external factors. Many types of risk have the potential to negatively impact our corporate reputation. Internal business practices, or those of our business partners or the companies in which we invest, may generate reputation harm. Consequences include diminished brand efficacy in commercial markets, impeding our ability to execute our strategy and our status as investor, partner and employer of choice. Symbol: Climate Event Input: The international community pledged €17 million in additional funds to help finance work aimed at reducing the risk of radiation from disused uranium-mining sites in the Kyrgyz Republic, Tajikistan and Uzbekistan. The funding was pledged at an event hosted by the EBRD, which manages the Environmental Remediation Account for Central Asia. Work at four sites will start in 2019. Symbol: Not Climate Event Input: The investment horizon is between 3 and 15 years, because shorter investment horizons than this risk creating restrictions in the management, which can lead to poorer earnings, in part due to lower liquidity. Evaluation is over a rolling five-year period and the outcome of individual years should be interpreted with caution since strategic positions are taken in the medium term. Symbol: Climate Event Input: Under the Strategic Plan 2018-2022, the company continues to optimise the businesses through additional efciency measures, with the commitment to cut annual operating expenses by Euros 500 million in 2022. These efciencies are focused on an analysis of the company's non-core activities and on the assignment of operational functions within each of the business units, all supported by the ongoing digitalisation processes. Symbol: Climate Event Input: Our current global economy’s linear business model of “take, make, and waste” is depleting natural resources faster than they can be replenished and straining ecosystems. Imagine repurposing a piece of plastic at the end of its use, giving it another life as something else. Its use is, in fact, circular, and the end of use doesn’t mean the end of life. Symbol: Not Climate Event Input: For many investors, climate change poses significant financial challenges and opportunities. The expected transition to a lower carbon economy is estimated to require around £2.7 trillion, on average, in energy sector investments a year for the foreseeable future, generating new investment opportunities. At the same time, the risk return profile of companies exposed to climate-related risks may change significantly because of physical impacts of climate change, climate policy or new technologies. Symbol: Not Climate Event Input: In late 2017, CN committed to purchasing 200 new alternating current traction locomotives over the next three years to accommodate future growth opportunities and drive operational efficiency across the system. CN’s order is the largest among Class I railways since 2014. These high-horsepower engines are equipped with advanced digital technologies to optimize power distribution, train handling, brake control and fuel utilization. Symbol: Climate Event Input: Climate change presents both physical and transition risks to our investment portfolio. Physical risks include the risk of loss due to extreme weather events or longer-term shifts in climate patterns. Transition risks include changes in government policy, regulation, consumer preferences and technology, which may increase the costs of certain assets (e.g. carbon pricing) or their marketability (e.g. stranded assets). These changes may impact the value of our investments. Symbol: Not Climate Event Input: It includes the risk that the Group fails to develop or to execute successful strategies to deliver acceptable returns in the context of the economic, competitive, regulatory / legal and interest rate environments that arise. It also includes non-financial risks such as people risks and risks relating to climate change. Symbol:	Not Climate Event
Input: Operational risks are inherent in the Barclays Bank Group’s business activities and it is not cost effective or possible to attempt to eliminate all operational risks. The Operational Risk Framework is therefore focused on identifying operational risks, assessing them and managing them within the Barclays Bank Group’s approved risk appetite. Symbol: Climate Event Input: Beith: Stranded carbon assets was the underappreciated risk back then. Today it’s policy risk. There’s a palpable sense of grass-roots alarm as we see real-world, real-time effects of climate change, and that could create a policy tipping point where governments have historically been skeptical. That is the case next door to us in Australia, with its devastating bush fires, but also in the U.S., where state and municipal governments have taken the lead while the federal government moves in the opposite direction. Those potential tipping points create substantial investment risk. Symbol: Not Climate Event Input: However, in France, employees are involved in the Bank's long-term development through profit-sharing and/or incentive schemes. They are linked to the Company's overall performance (financial and non-financial) and regulated by Societe Generale agreements signed with the trade unions every three years. For Societe Generale SA in France, out of the total amount of profit-sharing and incentives paid in 2018 for the financial year 2017, 4% was relating to Symbol: Climate Event Input: Based on these market developments, we continue to focus on policy and legal risks, as well as technology risks, as we mainly expect changes within these two dimensions to potentially impact asset values. In this way, we aim to capture those industries and groups of companies that are most exposed to these risks and may therefore require adjustments in the near to medium term. Symbol: Climate Event Input: BNP Paribas Asset Management has committed to align its portfolios with the goals set out in the Paris Agreement. To that end, in 2019 BNP Paribas Asset Management announced that it would be implementing a new, more restrictive coal policy, which took effect on 1 January 2020. The policy applies to all open-ended funds actively managed by BNP Paribas Asset Management, and is set to become the standard for mandates as well. As of 2020, BNP Paribas Asset Management no longer invests in companies generating more than 10% of their revenue from thermal coal operations and/or for which thermal coal represents 1% or more of their total global production. Electricity producers with a carbon intensity exceeding the global average of 491 gCO2e/kWh in 2017 will also be ruled out, as BNP Paribas Asset Management aligns itself with the path set to reach the Paris Agreement goals, as determined by the IEA in its Sustainable Development Scenario (SDS). This scenario calls for electricity producers to reduce their carbon intensity to 327 gCO2e/kWh by 2025. Accordingly, BNP Paribas Asset Management will require the companies it invests in to reduce their carbon intensity to an SDS-compatible rate between 2020 and 2025, excluding those who fail to do so. Symbol: Not Climate Event Input: $15-20 billion in projected savings for the banking sector by 2022 thanks to blockchain technology* in manufacturing efficiency over the next five years, contributing $500 billion in annual added value to the global economy. To helps its clients secure these benefits, Capgemini offers a Digital Manufacturing service line that improves efficiencies and productivity through smart, connected services (see page 60). Symbol: Climate Event Input: Business travel accounted for 88% of the operations’ total carbon emissions, with air travel accounting for 63% of this figure. One of the reasons for the increase in carbon emissions from travel was the outsourcing of IT services to companies abroad, compared with former Swedish companies, resulting in longer travel required in the business operations. Symbol: Not Climate Event Input: In the US gas distribution businesses, we are focused on decarbonising our gas networks and the heating sector. We are doing this by reducing emissions related to natural gas through energy efficiency and demand response, continued investment in our leaking pipe replacement programmes and advancement of the future of heat. For example, we included a $90 million future of heat proposal in our April 2019 KEDNY/ KEDLI filing which combined expanded energy efficiency and demand response programmes, renewable natural gas interconnection investments, geothermal investments, and a hydrogen blending study. We plan to include future of heat proposals and continued pipe replacement programmes in our next Niagara Mohawk and Massachusetts gas rate filings. This work aligns with the Rhode Island Heating Sector Transformation, launched by the Governor in July 2019 to identify how the heating sector needs to change to meet the state’s climate objectives. This initiative concluded in April 2020 with recommendations provided to the Governor. Those recommendations included increased energy efficiency, electrification through air and ground source heat pumps, and fuel decarbonisation through renewable natural gas and renewable oil. Symbol: Not Climate Event Input: In addition, our businesses and the markets in which we operate are continuously evolving. We may fail to fully understand the implications of changes in our businesses or the financial markets or fail to adequately or timely enhance our risk framework to address those changes. If our risk framework is ineffective because it fails to keep pace with changes in the financial markets, regulatory requirements, our businesses, our counterparties, clients or service providers or for other reasons, we could incur losses, suffer reputational damage or find ourselves out of compliance with applicable regulatory or contractual mandates or expectations. Symbol:	Climate Event
Input: While the transformation of our systems will continue beyond 2021, we are committed to remaining within the guided transformation investment spend of €1.4 billion equating to an average of 50 to 60 basis points of Common equity tier 1 (CET1) capital annually until 2021. We expect that investment in transformation beyond 2021 will be at a lower level. Symbol: Climate Event Input: 25II. STRATEGY: ACTUAL AND POTENTIAL IMPACTS OF CLIMATE-RELATED RISKS AND OPPORTUNITIES ON BNP PARIBAS' BUSINESSES, STRATEGY AND FINANCIAL PLANNING nus. A total of 1,057 Auto Ecologiques loan were issued in 2019 amounting to $27 million. - BDDF also launched EnergiBio, a lower-rate consumer loan used to fund energy renovation projects. - In Belgium, BNP Paribas Fortis offers green mortgage loans to make homes more energy ef- ficient (construction of new homes or renovations of existing homes), which amounted to $3.6 billion at end-2019. - In the United States, Bank of the West offers lower rates on certain home loans to promote en- ergy efficiency renovations. Symbol: Not Climate Event Input: We have devoted significant resources to develop our risk management capabilities and expect to continue to do so in the future. Nonetheless, our risk management strategies, models and processes, including our use of various risk models for assessing market exposures and hedging strategies, stress testing and other analysis, may not be fully effective in mitigating our risk exposure in all market environments or against all types of risk, including risks that are unidentified or unanticipated. Symbol: Climate Event Input: – Omissions Emissions associated with joint ventures and investments are not included in the emissions disclosure as they fall outside the scope of our operational boundary. We do not have any emissions associated with heat, steam or cooling. We are not aware of any other material sources of omissions from our emissions reporting. Symbol: Not Climate Event Input: Risk committees Effective risk management requires company-wide risk governance. ING's risk and control structure is based on the 'three lines of defence' governance model, whereby each line has a specific role and defined responsibilities and the execution and control of tasks are separated. At the same time, the three lines have to work closely together to identify, assess and mitigate risks. This governance framework is designed to manage risk in line with ING's overall risk appetite as approved by the Management Board Banking, Executive Board and Supervisory Board. Symbol: Climate Event Input: Reinvestment in the business In 2019, CN spent approximately $3.9 billion in its capital program, with $1.6 billion invested to maintain the safety and integrity of the network, particularly track infrastructure. CN's capital spending also included $1.2 billion on strategic initiatives to increase capacity, enable growth and improve network resiliency, including line capacity upgrades and information technology initiatives, $0.9 billion on equipment capital expenditures, including the acquisition of 154 new high-horsepower locomotives and 560 new grain hopper cars, and $0.2 billion on implementation of Positive Train Control (PTC), the safety technology system mandated by the U.S. Congress. Symbol: Climate Event Input: That is where the European Circular Bioeconomy Fund steps in. On its way to raising €250 million for the bioeconomy and circular bioeconomy, the Fund invests in early-stage companies with proven technologies that need financing to scale up their operations and to expand into bigger markets. The bioeconomy and circular bioeconomy are key elements in making the economy more sustainable and protecting the environment. The bioeconomy reduces our dependence on natural resources by promoting sustainable products that use renewable biological resources (such as lupins) to produce food, materials and energy. Symbol: Not Climate Event Input: The Trustees believe that climate change will have significant and wide-ranging implications for the global economy and therefore presents a Significant risk to the long-term value and security of the pension fund's assets. The Trustees also believe that failure to consider ESG factors, including climate change, cou ld lead to underperformance or financial loss in the short as well as the longer term. Symbol: Not Climate Event Input: Although we have devoted significant resources to develop our risk management policies, procedures and methods, including with respect to market, credit, liquidity, operational as well as reputational and model risk, they may not be fully effective in mitigating our risk exposures in all economic market environments or against all types of risk, including risks that we fail to identify or anticipate. Symbol:	Climate Event
Input: We have enhanced our Environmental, Social, and Governance heat map to include proxy climate risk metrics. This heat map is available to our analysts and fund managers and updated on a monthly basis. It includes a composite carbon exposure metric based on the carbon-intensity of business activities, the extent of operations in jurisdictions with stringent carbon emissions regulations and the quality of a company’s carbon management. We targeted a £500 million annual investment in low-carbon infrastructure from 2015-2020, and an associated carbon saving target of 100,000 CO2e tonnes annually. In 2017, we signed £527.5 million of new investment into wind, solar, biomass and energy efficiency. Aviva holds over £744 million in green bonds. Symbol: Not Climate Event Input: Sector restrictions For the sector specific restrictions, the following definitions should be applied: i) 'Financing': all lending, underwriting, issuance of debt and equity, trade and working capital finance; ii) 'Directly finance projects' refers to project finance or other lending/ underwriting where the use of proceeds is known to be for a particular project. http://home.barclays/annualreport Symbol: Climate Event Input: We have developed a Climate Policy Position Statement which outlines our role in limiting climate change to well below two degrees and the way in which we will support the transition to a net zero emissions economy by 2050. This includes undertaking a climate scenario analysis and setting a $15 billion target for financing low carbon projects by 2025. Symbol: Not Climate Event Input: Ultimately, sustainable growth is also about culture and tone from the top. Leaders across the bank promote our efforts, articulate its importance and champion the work needed to deliver sustainable growth well into the future. Symbol: Climate Event Input: Future intent We continually review our metrics and targets, as needed, to ensure that the data we are measuring is meaningful, aligns with our strategy, and is providing the information the business and our stakeholders need to effectively monitor our performance and demonstrate our progress. In 2020/21, we will be laying out our pathway to achieve our net zero by 2050 emission reductions and setting targets to align our ambitions and provide better visibility to our progress. Symbol: Not Climate Event Input: In April 2020, we announced our A$20 million Community Support Fund which is supporting our host communities with the challenges associated with the COVID-19 pandemic. Since launching the Fund, a number of health, livelihood and economic recovery initiatives have been funded such as a partnership with the University of Queensland to support COVID-19 vaccine research, a contribution to the cost of new lost-cost ventilators and partnering with international organisations to deliver medical supplies, equipment, infrastructure and services in Papua New Guinea. Symbol: Climate Event Input: In addition to e-learning modules on sectoral policies, available in eight languages, 12 interactive sessions (including methodology reviews and case studies) were organised to help employees improve their understanding and grasp of existing tools. Symbol: Climate Event Input: Lidl raises environmental standards in retail sector Financing worth €110 million will help Schwarz Group, owner of the Lidl supermarket chain, improve the environmental performance of its stores in Bulgaria, Moldova and Romania. The project also supports the development of sustainable building-certification regimes in these countries and will cut the company’s CO2 emissions by 26,000 tonnes per year. Symbol: Not Climate Event Input: We have imposed restrictions on providing loans, advice and insurance to controversial and socially sensitive sectors and activities such as: the energy sector, project finance, arms-related activities, narcotic crops, gambling, fur, palm oil production, mining, deforestation, land acquisition and involuntary resettlement of indigenous populations, tobacco, mining, animal welfare and prostitution. Symbol:	Not Climate Event
Input: In the US gas distribution businesses, we are focused on decarbonising our gas networks and the heating sector. We are doing this by reducing emissions related to natural gas through energy efficiency and demand response, continued investment in our leaking pipe replacement programmes and advancement of the future of heat. For example, we included a $90 million future of heat proposal in our April 2019 KEDNY/ KEDLI filing which combined expanded energy efficiency and demand response programmes, renewable natural gas interconnection investments, geothermal investments, and a hydrogen blending study. We plan to include future of heat proposals and continued pipe replacement programmes in our next Niagara Mohawk and Massachusetts gas rate filings. This work aligns with the Rhode Island Heating Sector Transformation, launched by the Governor in July 2019 to identify how the heating sector needs to change to meet the state’s climate objectives. This initiative concluded in April 2020 with recommendations provided to the Governor. Those recommendations included increased energy efficiency, electrification through air and ground source heat pumps, and fuel decarbonisation through renewable natural gas and renewable oil. Symbol: Not Climate Event Input: In our outlook for impacts on our clients' business, we employed two scenarios: a static scenario which assumes that no attempt is made to transform the present business structure, and a dynamic scenario under which the business structure is transformed. Symbol: Climate Event Input: Reputation Risk: This is the risk of loss of credibility due to internal or external factors and is often related to, or results from, other categories of risk. This risk can arise from our internal business practices or those of our business partners or the companies in which we invest. Business partners include third parties hired to perform some of our administrative functions as well as investment organizations with which we have a contractual arrangement. A loss of reputation could impact our position as a partner, investor and employer of choice and impede our ability to execute our strategy. Symbol: Climate Event Input: A growing percentage of customers want to reduce their carbon footprint not only in their homes or businesses, but in the vehicles they drive as well. Electric vehicles are a growing consumer choice, and we are taking a three-pronged approach to help our customers seamlessly make the transition. We have several pilots underway in Minnesota to provide home charging options and public charging infrastructure, and to partner with communities and business customers to convert their fleets from traditional to electric vehicles. We recently announced a $25 million investment in electric vehicle infrastructure and believe these pilots will help our customers reduce energy and meet their sustainability needs. We expect to expand our electric vehicle efforts to other states in 2019 and beyond (read more on pages 10-11). Symbol: Not Climate Event Input: We have been investing in videoconferencing and remote working capabilities as part of our IT Transformation Programme. Videoconferencing is integrated into our online collaboration platforms, enabling colleagues to join virtual meetings anytime, anywhere. Our teams can run webcasts with up to 500 participants. Symbol: Climate Event Input: In 2019, PME redesigned the passively managed equity portfolio of equities in developed countries. The starting point of the new portfolio is that PME knows what we are investing in and why. The contribution of beneficiaries was important in this matter, as was the reduction of climate risk in the equity portfolio. - Since the beginning of 2018, PME no longer invests in coal producers. PME is convinced that the business operations of mining companies that focus solely on coal are not future-proof and these producers therefore represent a risk to PME's investment portfolio. Investments are also no longer made in producers of tar sand oil. Its production is seen as too harmful to the environment by PME, and the fund cannot identify with this. - Engagement. MN conducts a dialogue on behalf of its clients with companies in the equity portfolios that, in absolute terms, contribute a great deal to the portfolio's carbon footprint. MN does so in collaboration with Climate Action 100+. - Mandatory participation in the GRESB sustainability benchmark for real estate investments. Symbol: Not Climate Event Input: In this document, section 4.3.1.3 (1) Financing and Investment Transactions Prohibited Regardless of Sector lists projects for which we prohibit any financing or investment. Sections 4.3.1.3 (2) Financing and Investment Transactions which Require Additional Due Diligence Regardless of Sector and 4.3.1.3 (3) Policies on Specific Industrial Sectors describe our practices for determining whether to engage in transactions with clients/projects in subject sectors, accounting for the degree to which the client has taken steps to avoid or mitigate risk and other due diligence as appropriate, based on the characteristics of the services we are providing. Symbol: Climate Event Input: Sustainable finance products are instruments that channel funds to finance customer transactions in sectors such as renewable energy, energy efficiency, waste management and water treatment, as well as access to social goods and services, including housing, education, health and employment. BBVA strives to contribute to creating the mobilization of capital needed to halt climate change and achieve the Sustainable Development Goals mentioned before. To this end, it has pledged to mobilize €100,000m in sustainable financing between 2018 and 2025. Symbol: Not Climate Event Input: Business risk is the risk arising from changes in external factors (the macroeconomic environment, regulations, client behaviour, competitive landscape, socio-demographic environment, climate, etc.) that impact the demand for and/or profitability of our products and services. Strategic risk is the risk caused by not taking a strategic decision, by taking a strategic decision that does not have the intended effect or by not adequately implementing strategic decisions. quantified under different stress test scenarios and long-term earnings assessments. Symbol:	Not Climate Event
Input: Net CO2 emissions (kg per ton of cementitious material) Net CO2 emissions are CO2 emissions from the calcination process of the raw materials and the combustion of traditional kiln and non-kiln fuels. Cementitious materials refer to clinker production volumes, mineral components consumed in cement production and mineral components processed and sold externally. Symbol: Not Climate Event Input: It is essential that risk assessment and risk-informed decision-making is integrated across all levels of our organization - from the board of directors through oversight of the risk management policy and program to executive leadership through the Risk Management Committee and to business operations. Symbol: Climate Event Input: That’s why making these assets as strong as they can be will always be the bedrock of growth – as reflected in the investment we have committed to upgrading the Bayswater and Loy Yang A power stations (without increasing carbon emissions) and the $420 million we have invested in the past three years in customer experience and other digital transformation programs. Symbol: Not Climate Event Input: Growing concerns over air quality, road safety, sustainability and urban congestion, among consumers and society at large, are driving the regulations and policies for motor vehicles and urban development. These will impact choice of fuel, ownership patterns and will have a signicant impact on the future of the automotive industry. Symbol: Not Climate Event Input: 51 In February 2020, BlackRock made a charitable contribution of its 20% stake in PennyMac Financial Services, Inc. to the BlackRock Foundation, a newly established corporate foundation, and the BlackRock Charitable Fund, a donor- advised fund, which was established in 2013. Symbol: Climate Event Input: We have already achieved our 2020 operational target set in 2010 by reducing our carbon emissions by 66% and we have a long-term reduction target of 70% by 2030. Now, 67% of electricity used by our global operations is from renewable resources and we are committed to using 100% renewable electricity by 2025 (aligned to the RE100 commitment). Across the UK, more than 400 employees have signed up to our car share programme and there are 180 active car sharing groups. We have also introduced twenty electric vehicle charging points at eight UK office locations and moved 30% of our car fleet to hybrid. More details of this analysis can be found on www.aviva.com/social- purpose. Symbol: Not Climate Event Input: In 2018, CN spent approximately $3.5 billion in its capital program, with $1.6 billion invested to maintain the safety and integrity of the network, particularly track infrastructure. CN's capital spending also included $1.0 billion on strategic initiatives to increase capacity, enable growth and improve network resiliency, including line capacity upgrades and information technology initiatives, $0.5 billion on equipment capital expenditures, including the acquisition of 500 new centerbeam cars and 65 new high-horsepower locomotives, and $0.4 billion on implementation of Positive Train Control (PTC), the safety technology mandated by the U.S. Congress. Symbol: Climate Event Input: The sensitivity analysis does not show a comprehensive picture of all potential scenarios. Further, variables do not tend to move in isolation, nor in a uniform or consistent manner, and the analysis does not show the potentially infinite number of permutations, and resultant impacts, that might arise in reality as a consequence. Symbol: Climate Event Input: The enterprise risks were categorized as an external, operational or strategic risk. External risks emerge from outside the organization, operational risks arise from within the organization, and strategic risks are associated with our strategic initiatives. The identified risks can significantly affect the Association’s finance, relevancy and reputation if mitigations are not in place. Symbol:	Climate Event
Input: ■ liability risks: risks that could potentially arise from claims by parties who have allegedly suffered losses from climate change, and who seek to recover these losses from third parties who they believe may have been responsible (or are otherwise liable) for these losses. This is considered as an emerging risk at this stage given the paucity of relevant judicial precedent and the many open questions surrounding potential liability including the applicable duty of care, standards of proof and causality. Symbol: Not Climate Event Input: Creating markets for certified green buildings IFC has identified an investment opportunity of almost $25 trillion for green buildings in emerging markets, because of high population growth, urbanization trends, and deployment of existing technologies for resource efficiency. To tap into this potential, IFC created EDGE — Excellence in Design for Greater Efficiencies — a green building certification program for more than 150 countries. Symbol: Not Climate Event Input: Operational risk involves the risk of a positive, negative or potential loss resulting from inadequate or failed internal processes, human behaviour and systems or from external incidents. Business continuity risk, financial reporting risk, model risk and HR risk are within the scope of the Group’s operational risk management. Operational incidents and losses in all (risk) areas are recorded in the Operational Incident Database. Symbol: Climate Event Input: Thus, the Board of Directors, upon recommendation of its Compensation & Governance Committee, and following a comparative review of national, European and industry practices, decided to maintain unchanged, for 2018, the Chief Executive Off icer’s target annual variable compensation, at €1.45 million, i.e. 100% of the amount of his annual fixed compensation. Symbol: Climate Event Input: United Nations Environment Programme FI LENDING PILOT CASE STUDY: TD and Bloomberg Testing Geospatial Mapping for Physical Risk Assessment1 TD collaborated with Bloomberg and Acclimatise to use an innovative geospatial solution for assessing physical risks of climate change (from both incremental changes and extreme weather events) to borrower credit ratings within the bank's lending portfolio. Symbol: Not Climate Event Input: The impact of climate change presents a significant risk. Damage to assets caused by extreme weather events linked to climate change is becoming more evident, highlighting the fragility of global infrastructure. We also anticipate the potential effects of climate change will increasingly impact our own operations and those of client properties we manage, especially when they are in coastal cities. Symbol: Not Climate Event Input: Validation We established a common understanding between Toyota Motor Corporation (TMC) and all regions at the global meetings also based on the analyses conducted by overseas affiliates. We also engaged in dialogue with international organizations to validate the issues identified from perspectives outside of the company. The matrix was confirmed by relevant executives. Symbol: Climate Event Input: It is also used to identify what are known as emerging risks, in other words risks which could potentially have an adverse impact on the Group’s future performance, although their result and horizontal time frame are uncertain and difficult to predict (for further details see section ‘Emerging risks’ from chapter C. Background and upcoming challenges). Symbol: Climate Event Input: The physical risks identified were all expected to only manifest in the longer term. Physical risks include: reduced ability to complete construction on time in the case of extreme weather events; construction times may similarly be marginally prolonged from chronic changes in weather patterns, such as heavier rainfall and increased humidity; and rising sea levels and heightened risk of flooding may impact the availability of development plots. Symbol:	Not Climate Event
Input: In the Intergovernmental Panel on Climate Change (IPCC) special report, climate change poses an increasing threat to mankind and the global economy. Transitioning to a low-carbon economy may entail extensive policy, legal, technology and market changes. Physical risks such as frequent or severe weather events may also give rise to credit, operational and reputational risks. Symbol: Not Climate Event Input: At the beginning of 2019, VINCI Airports signed a memorandum of understanding with the Portuguese government to extend Lisbon’s airport capacity. It provides for upgrading the existing Humberto Delgado Airport and building a new civil airport on the Montijo Air base opposite the city at the eastern end of the Tagus estuary. VINCI Airports will invest €1.15 billion over the next 10 years in this two-pronged project. Symbol: Climate Event Input: Å Our commitment for renewable energy to comprise at least 20% of our energy portfolio in 2022 with the help of our Energy Transition Fund. This fund focuses on investment opportunities in projects and companies that are helping to accelerate the energy transition and has scope to grow to over EUR 200 million; Symbol: Not Climate Event Input: Operational risk involves the risk of a positive, negative or potential loss resulting from inadequate or failed internal processes, human behaviour and systems or from external incidents. Business continuity risk, financial reporting risk, model risk and HR risk are within the scope of the Group’s operational risk management. Operational incidents and losses in all (risk) areas are recorded in the Operational Incident Database. Symbol: Climate Event Input: To help increase access to affordable and sustainable homeownership, in April 2019, we announced the $5 billion Bank of America Community Homeownership Commitment™ to benefit LMI homebuyers over the next five years. The initiative will help more than 20,000 individuals and families achieve homeownership through grants that directly assist homebuyers with their down payments and closing costs. At the end of 2019, the program helped over 9,000 new homeowners with $2.3 billion in mortgage lending. Symbol: Climate Event Input: One of our We Mean Business commitments was to set a science-based emissions target independently approved by the Science- Based Target initiative (SBTi), and in 2017, we became the first company in Australia to do so. To date, we remain the only company in the Australian energy sector to have validated and approved science-based targets. Our targets cover not only Scope 1 and Scope 2 emissions but also Scope 3 emissions. We have also long supported a net-zero emissions target for the electricity sector by 2050 or earlier. Symbol: Not Climate Event Input: The main impacts of the 4ºC scenario were: • Physical ramifications of climate change: in this scenario we expect extreme weather events of escalating severity and frequency, which could increase disruption to our assets and our customers. This would require investment to ‘harden’ assets and would heighten the safety risk to our field employees. Our approach to physical climate risk is discussed in more detail below. • Lower system visibility: as this scenario sees less coordinated policy and regulation in pursuit of decarbonisation, we would anticipate a greater variety of solutions being deployed across our networks. This could increase overall system costs and reduce visibility over the network, potentially slowing our responsiveness to disruptive events. We do note, however, that a greater number of distributed assets would increase the potential for local balancing, which could mitigate this. • Inequality of access: without carefully designed policy, we believe decarbonisation activities have the potential to leave some sectors of society behind: for example, heat pumps and the energy efficiency upgrades they typically require are currently cost-prohibitive for many. As well as the ethical implications of this, there is a risk to the Group, especially for our US businesses, that a proportion of our customers would struggle to pay their bills. Symbol: Not Climate Event Input: 14 those related to our products and services, demand and distribution, financial performance, credit rating and debt obligations. Given that developments concerning the COVID-19 pandemic have been constantly evolving, additional impacts and risks may arise that we are not aware of or able to appropriately respond to at this time. Symbol: Climate Event Input: Human rights are being severely affected by climate change. Human rights outcomes related to climate impacts include the loss of land, forced migration, and loss of life and resources due to conflict. People also have their rights to livelihood and work affected. Consequently, human rights impacts are of primary concern in a just transition. Symbol:	Not Climate Event
Input: 4.3.4 Methods of stakeholder engagement are flexible and can be tailored according to different objectives. They may include surveys, meetings, written communication or any other channels, depending on the types of stakeholders. Given the areas of concerns and expectations may change over time, engagement should be an iterative process. Symbol: Climate Event Input: We meet the financing needs of our customers with a broad and modern product range. The focus of the portfolio is on traditional owner-occupied home financing and the financing of real estate capital investments (residential mortgage loans and investment properties with a total EaD of €61bn). We provide our business customers with credit in the form of individual loans with a volume of €14bn. In addition, we meet our customers’ day-to-day demand for credit with consumer loans (consumer and instalment loans, credit cards to a total of €10bn). Symbol: Climate Event Input: We were also proud to partner with UK Climate Investments committing a combined R1 billion to a dedicated renewable energy investment vehicle, Revego Africa Energy. Revego Fund Managers (RFM), a newly incorporated black‑owned and managed fund manager, will be responsible for managing Revego’s investments in operating renewable energy projects in South Africa and other sub‑Saharan African countries. Symbol: Not Climate Event Input: We met our goal and achieved carbon neutral certification for our operations under the Commonwealth Government's Climate Active program. To help contribute to our carbon neutrality goal, we continued to actively work to improve the energy efficiency of our network sites and exchanges, and data centres. This year, despite increasing demand for data, our network facility energy reduction program and decommissioning activities contributed a 3.4 per cent reduction towards achieving both our carbon neutrality and emissions reduction goals. Symbol: Not Climate Event Input: Unfortunately, this progress has come at a cost. Carbon emissions have tripled since 1960. We are now consuming about 1.75 times as many natural resources in a year as the planet can possibly regenerate – which is driving land and biodiversity loss, resource shortages and climate change. This is not sustainable, especially with the global population forecast to increase by a further 50% this century. And although people are living longer, they’re not always healthier or happier: there’s been an increase in chronic disease, while mental health issues are also on the rise. Symbol: Not Climate Event Input: 4) After segmentation, a calibration phase is proposed. In this phase, it is necessary to select five clients from each established segment minimally and to estimate the impact on their default probability against the established revenue, cost and investment impacts. There is no single way to apply this step, and it can be constructed either quantitatively or qualitatively. Symbol: Climate Event Input: The two biggest emissions categories are car use and air travel. Compared to 2016, there was a decrease in the category ‘car’ as a result of the switch to electric lease cars. There were more kilometres of air travel in 2019, which resulted in higher CO 2 emissions in this area. Symbol: Not Climate Event Input: JetBlue's workforce is broadly diversified among several job classifications, with Airport Operations crewmembers as the largest group at 31.3%. Nearly all (99.2%) of JetBlue's workforce is based in the United States. For more information on our workforce and crewmembers, see page 39. (TR0201-05) Symbol: Climate Event Input: The downsides of disruptive technology have been apparent in other engagements. The Forum’s discussions with Tesla, a company that potentially will play a central role in decarbonising the car industry, have focused on health and safety concerns about their Freemont car plant. Despite introducing new technologies on the production line, reports have suggested that incident rates are higher than their competitors. There have been similar concerns that employment standards and health and safety records have been worse in new industries, including in the renewable energy sector. Symbol:	Not Climate Event
Input: In 2018, CN spent approximately $3.5 billion in its capital program, with $1.6 billion invested to maintain the safety and integrity of the network, particularly track infrastructure. CN's capital spending also included $1.0 billion on strategic initiatives to increase capacity, enable growth and improve network resiliency, including line capacity upgrades and information technology initiatives, $0.5 billion on equipment capital expenditures, including the acquisition of 500 new centerbeam cars and 65 new high-horsepower locomotives, and $0.4 billion on implementation of Positive Train Control (PTC), the safety technology mandated by the U.S. Congress. Symbol: Climate Event Input: IAG is committed to be the leading airline group in sustainability. This means that environmental considerations are integrated into the business strategy at every level and the Group uses its influence to drive progress across the industry. • IAG Climate Change strategy to meet target of net zero carbon emissions by 2050. • British Airways plans to offset UK domestic flight carbon emissions from 2020. • Fleet replacement plan introducing aircraft into the fleet that are up to 40 per cent more carbon efficient. • IAG investment in sustainable aviation fuels of $400 million in the next 20 years, including British Airways’ partnership with Velocys. • Management incentives under development to align to IAG’s new targets. • Partnering with Mosaic Materials to explore carbon capture technology. • Participating in CORSIA, the ICAO global aviation carbon offsetting scheme. Symbol: Not Climate Event Input: In an effort to reduce the amount of CO2 emissions produced by our company, we are promoting investments in energy-efficiency, operational improvements, and energy-saving activities undertaken by all our employees. In FY 2018, we made energy-efficiency related investments of approximately 300 million yen (based on our company's Environmental Accounting Guideline). With this, we improved productivity by updating and automating production equipment and realized greater efficiency by updating major equipment such as lights, pumps, air conditioning and transformers. Symbol: Not Climate Event Input: Creating value Measuring our reputation KPI FY19 FY18 FY17 FY16 FY15 AGL‘s Reptrak score declined since FY18. The drop in AGL‘s reputation over the past year has been driven by declining scores on three important dimensions of reputation – leadership, workplace and citizenship. This decline in reputation was consistent with scores across the energy industry as a whole. Symbol: Climate Event Input: As a leader in the index investing and asset management industry, BlackRock has been the subject of commentary citing concerns about the growth of index investing, as well as perceived competition issues associated with asset managers managing stakes in multiple companies within certain industries, known as “common ownership”. The commentators argue that index funds have the potential to distort investment flows, create stock price bubbles, or conversely, exacerbate a decline in market prices. Symbol: Climate Event Input: We also support and advise companies in the Latin American and Caribbean agricultural sector to make smart investments that can improve their resilience to climate change. A 7-year financing for up to US$30 million was granted by IDB Invest and Rabobank to support Desdelsur. This project financed the completion of the clients comprehensive livestock project, making its feedlot the largest in Argentina, strengthening its leading position in the export of legumes and oilseeds by telecommunications sector, as well as financing part of the company’s strategic investment plan for the deployment of a 4G network and providing better connectivity across its territory. Symbol: Not Climate Event Input: The Alberta Climate Leadership Plan, sets forth several commitments relevant to the oil and gas sector: (1) the implementation of an economy-wide carbon levy; (2) limiting of oil sands emissions to a province-wide total of 100 megatonnes per year (compared to current industry emissions levels of approximately 70 megatonnes per year), with certain exceptions for cogeneration power sources and new upgrading capacity; and (3) a goal to reduce methane emissions from oil and gas activities by 45 percent by 2025. The economy-wide carbon levy is based on a rate of $30 per tonne for 2018 and exempts activities integral to oil and gas production processes until 2023. Symbol: Not Climate Event Input: Business Risk Business risk describes the risk we assume due to potential changes in general business conditions, such as our market environment, client behavior and technological progress. This can affect our results if we fail to adjust quickly to these changing conditions. Business risk consists of strategic risk, tax risk and refinancing risk, of which only strategic risk is assessed as material. Symbol: Climate Event Input: Climate change exposes us to physical risks which may challenge our ability to effectively underwrite, model and price catastrophe risk particularly if the frequency and severity of catastrophic events such as pandemics, hurricanes, tornadoes, floods, wildfires and windstorms and other natural disasters continue to increase. For example, losses resulting from actual policy experience may be adverse as compared to the assumptions made in product pricing and our ability to mitigate our exposure may be reduced. Symbol:	Not Climate Event
Input: We also anticipate that the potential effects of climate change will increasingly impact our own operations and those of client properties we manage, especially when they are located in coastal cities. For example, in 2018, the impact of natural disasters was significant with a series of devastating wildfires in the U.S. as well as floods in several geographies around the globe. Symbol: Not Climate Event Input: 5.2.11 Conflict minerals: issues further down the chain In line with Philips’ commitment to supply-chain sustainability, we are concerned about the situation in eastern DRC (the Democratic Republic of the Congo), where proceeds from the mining sector are used to finance rebel conflicts in the region. Philips does not directly source minerals from the DRC and the mines are typically seven or more tiers away from our direct suppliers. Philips nevertheless feels obliged to address this issue through the means and influencing mechanisms available to us. Symbol: Climate Event Input: Key actions: • • Refreshed our Climate Change Roadmap Refreshed our Climate Change Roadmap to include commitment and pathway to to include commitment and pathway to target a 45% absolute emissions reduction target a 45% absolute emissions reduction by 2030 and net zero greenhouse gas by 2030 and net zero greenhouse gas emissions across our whole investment emissions across our whole investment portfolio by 2050. portfolio by 2050. • Allocated 1% of the Growth (Cbus MySuper) • Allocated 1% of the Growth (Cbus MySuper) portfolio or ~$500 million for investments portfolio or ~$500 million for investments in climate change mitigation opportunities.in climate change mitigation opportunities. • Engage with companies we invest in to • Engage with companies we invest in to influence them to reduce their carbon influence them to reduce their carbon emissions and contribute to meeting the emissions and contribute to meeting the Paris Agreement targets and SDGs.Paris Agreement targets and SDGs. Symbol: Not Climate Event Input: Thus, the Board of Directors, upon recommendation of its Compensation & Governance Committee, and following a comparative review of national, European and industry practices, decided to maintain unchanged, for 2020, the Chief Executive Off icer’s target annual variable compensation, at €1.45 million, i.e. 100% of the amount of his annual fixed compensation. Symbol: Climate Event Input: CO 2 eq/kboe) due to the contribution to reduction of the upstream sector and an improvement of around 2% of the EniPower and Refining & Marketing performance indexes. Although the target for reduction set for 2021 has already been achieved, Eni will continue to strive towards progressive improvement over the coming years. In 2019, Eni has proceeded with the investment plan both in projects aiming directly at increasing energy efficiency of assets (over €8 million) and in development and revamping projects with significant impacts on the energy performance of businesses. The actions taken during the year, when fully operational, will allow fuel savings of 303 ktoe/year (mainly in the upstream sector), to which 25 GWh/year of savings on purchases of electricity and steam must be added. The benefit in terms of lower emissions will be around 0.8 million tonnes of CO Symbol: Not Climate Event Input: Risks are assessed at least annually. Please refer to Section 6.1 Our approach to risk management, 6.2 Risk categories and factors, 6.3 Strategic risks, 6.4 Operational risks, 6.5 Compliance risks, and 6.6 Financial risks. Symbol: Climate Event Input: Transitional risks AGL's Climate Statement reflects our approach to the strategic management of risks and opportunities associated with the energy transition. These risks incorporate policy and legal risk, technology risk, market risk and reputation risk. Transitional risks also include risks in end-of-life asset planning and the rehabilitation of assets. Misalignment of these plans with future scenarios may lead to possible stranded assets and revenue loss amid continued policy uncertainty. Symbol: Not Climate Event Input: 51 In February 2020, BlackRock made a charitable contribution of its 20% stake in PennyMac Financial Services, Inc. to the BlackRock Foundation, a newly established corporate foundation, and the BlackRock Charitable Fund, a donor- advised fund, which was established in 2013. Symbol: Climate Event Input: Climate change-related risks may also adversely impact the value of the securities that we hold or lead to increased credit risk of other counterparties we transact business with, including reinsurers. In addition, our reputation or corporate brand could be negatively impacted as a result of changing customer or societal perceptions of organizations that we either insure or invest in due to their actions (or lack thereof) with respect to climate change. We cannot predict the long-term impacts of climate change on our business and results of operations. Symbol:	Not Climate Event
Input: An internal analysis of the generation fuel mix associated with our power utilities portfolio indicates approximately a third of our exposure is low-carbon, not inclusive of our $9.4 billion portfolio of tax equity investments 16F 17 in wind and solar projects throughout the U.S. We have dramatically reduced exposure to companies focused on coal extraction, as evidenced by the fact that pure play coal extraction now only represents $155 million of our energy sector exposure (or 0.4%), down nearly 80% from $762 million at FYE 2015. Symbol: Not Climate Event Input: These exercises highlight that not enough data are available for a bottom-up approach, assessing the vulnerabilities specific to Group clients and incorporating their response and remediation functions on a forward-looking basis. Symbol: Climate Event Input: Ultimately, sustainable growth is also about culture and tone from the top. Leaders across the bank promote our efforts, articulate its importance and champion the work needed to deliver sustainable growth well into the future. Symbol: Climate Event Input: In addition, our businesses and the markets in which we operate are continuously evolving. We may fail to fully understand the implications of changes in our businesses or the financial markets or fail to adequately or timely enhance our risk framework to address those changes. If our risk framework is ineffective because it fails to keep pace with changes in the financial markets, regulatory requirements, our businesses, our counterparties, clients or service providers or for other reasons, we could incur losses, suffer reputational damage or find ourselves out of compliance with applicable regulatory or contractual mandates or expectations. Symbol: Climate Event Input: Over the long term, climate change will result in both acute events (e.g. increased severity and frequency of extreme weather phenomena) and chronic environmental changes (e.g. sustained higher temperatures). Resultant risks may manifest as: • operational risk (e.g. fines and penalties due to non- compliance) resulting in one-off losses or broader sustainability challenges (e.g. workforce absenteeism and illness due to extreme weather events) for the group or for clients; or • credit risk for the group due to damage to physical property and infrastructure resulting in productivity losses or supply chain disruptions which impact customers’ cash flows and ability to service existing debt. Symbol: Not Climate Event Input: In late 2017, CN committed to purchasing 200 new alternating current traction locomotives over the next three years to accommodate future growth opportunities and drive operational efficiency across the system. CN’s order is the largest among Class I railways since 2014. These high-horsepower engines are equipped with advanced digital technologies to optimize power distribution, train handling, brake control and fuel utilization. Symbol: Climate Event Input: We remain at the forefront of SAF development and of influencing domestic, regional and international policy to support these fuels. We have committed to invest $400 million in SAF over 20 years from 2017. In August 2019, the British Airways partnership with Velocys and Shell submitted a planning application for Europe’s first household-waste-to-jet-fuel plant in Immingham, England. Construction of the plant is due to start in 2021 and the plant will be operational in 2024. It is expected to produce over 32,000 tonnes of sustainable jet fuel per year. Symbol: Not Climate Event Input: 53 respectively, through ASE Cultural and Educational Foundation to fund various environmental projects, and our board of directors have resolved in a resolution in January 2018 to contribute NT$100.0 million (US$3.4 million) through ASE Cultural and Educational Foundation in environmental projects in 2018. Our estimated environmental capital expenditures for 2018 will be approximately US$13.3 million, of which 3.9% will be used in climate change adaptation. Symbol: Not Climate Event Input: Other regulatory risks entail litigation risk and potential direct regulations in line with increasing carbon neutrality ambitions in various jurisdictions, such as the EU’s European Green Deal. Climate-related policy changes may also reduce access to prospective geographical areas for future exploration and production. Disruptive developments may not be ruled out, possibly triggered by severe weather events affecting public perception and policy making. Symbol:	Not Climate Event
Input: We meet the financing needs of our customers with a broad and modern product range. The focus of the portfolio is on traditional owner-occupied home financing and the financing of real estate capital investments (residential mortgage loans and investment properties with a total EaD of €61bn). We provide our business customers with credit in the form of individual loans with a volume of €14bn. In addition, we meet our customers’ day-to-day demand for credit with consumer loans (consumer and instalment loans, credit cards to a total of €10bn). Symbol: Climate Event Input: In addition to the carbon risk scenario analysis, S&P Global took steps to further explore the risks and opportunities presented above to assess and plan for a range of potential scenarios. The CFO convened a Scenario Discussion Workshop where members of senior leadership discussed the Company's current state, considered possible future scenarios, identified different risks and opportunities within these scenarios, and discussed the financial implication of these impacts on the Company. Symbol: Not Climate Event Input: In April 2018, the Group successfully completed a refinancing to convert floating to fixed debt and to extend the debt maturity out to November 2025. The Group issued a US$300 million bond with a fixed interest rate of 6.625%, which was swapped back to sterling upon issuance at an effective interest rate of 5%. The proceeds of the new issue were used to repay in full the £200 million floating rate bond issued in 2017 which had a maturity of 2022. Symbol: Climate Event Input: The enterprise risks were categorized as an external, operational or strategic risk. External risks emerge from outside the organization, operational risks arise from within the organization, and strategic risks are associated with our strategic initiatives. The identified risks can significantly affect the Association’s finance, relevancy and reputation if mitigations are not in place. Symbol: Climate Event Input: Risk committees Effective risk management requires company-wide risk governance. ING's risk and control structure is based on the 'three lines of defence' governance model, whereby each line has a specific role and defined responsibilities and the execution and control of tasks are separated. At the same time, the three lines have to work closely together to identify, assess and mitigate risks. This governance framework is designed to manage risk in line with ING's overall risk appetite as approved by the Management Board Banking, Executive Board and Supervisory Board. Symbol: Climate Event Input: The European Investment Bank, the EU climate bank, signed a loan of up to €57.5 million to the Greek state in July 2020 to finance the construction and equipment of the Geophysical Observatory in Antikythera and the new oceanographic vessel. These projects have an implementation horizon of five to six years. Symbol: Not Climate Event Input: Electrical and electronic waste (WEEE) accounts for 7% of the total waste generated by Wavestone’s activities in weight. This type of waste represents a major challenge given its large carbon footprint throughout its entire lifespan (use of water, metal and energy resources at all stages from product design through to recycling). We recycle all this waste or channel it for reuse or energy recovery. Symbol: Not Climate Event Input: Creating markets for certified green buildings IFC has identified an investment opportunity of almost $25 trillion for green buildings in emerging markets, because of high population growth, urbanization trends, and deployment of existing technologies for resource efficiency. To tap into this potential, IFC created EDGE — Excellence in Design for Greater Efficiencies — a green building certification program for more than 150 countries. Symbol: Not Climate Event Input: Reputational and financial impact: Increased concern over climate change could lead to increased expectations to fossil fuel producers, as well as a more negative perception of the oil and gas industry. This could lead to litigation and divestment risk and could also have an impact on talent attraction and retention and on our licenses to operate in certain jurisdictions. Symbol:	Not Climate Event
Input: Climate change Climate change is an external risk factor that is part of environmental risk. It is defined as an entity’s vulnerability to the negative effects of climate change, which could lead to financial losses. It includes:  physical risks, namely the risks resulting from damage caused by extreme weather events;  transition risks, namely the risks related to implementation of measures to ensure environmental transition. Symbol: Not Climate Event Input: Collaborating to help communities Our strategic partnerships are building a better future – whether it’s helping vulnerable households with their energy (see page 34), or tackling bad housing and homelessness. To support these issues in 2017, we invested £156 million in mandatory, voluntary and charitable contributions. A further £10 million has been committed to start-ups developing innovative energy ideas that benefit society, helping 38,000 people since 2013. Symbol: Not Climate Event Input: Paired with BlackRock's leadership in financial modeling and the power of Aladdin as a platform, Rhodium's data provides important new risk capabilities for our clients and for the industry.33 Aladdin Climate will power new Aladdin capabilities and add new risk metrics to BlackRock's modeling platform, and we will continue to extend our research across asset classes and geographies over time.34 Risks, opportunities & scenario analysis BlackRock recognizes the importance of effective identification, monitoring, and management of climate- related risks and opportunities across its global business. Symbol: Not Climate Event Input: Economic and financial results in the four-year plan: the adjusted operating profit expected at €0.9 billion in 2021; cumulated free cash flow at €2.1 billion in 2018-2021. ● Reducing refining break-even margin at approximately 3 $/barrel by the end of 2018. ● Completion of the Gela conversion in biorefinery and the development of the second phase of the Venice biorefinery. ● Strengthening of marketing activities in countries of presence. ● Focus on digitalization to optimize operations and enhance efficiencies. Symbol: Climate Event Input: - CaixaBank voluntarily applies this procedure to sy - ndicated operations with a term of 3 years or more and when CaixaBank's individual commitment is between $7 million and $35 million. Symbol: Climate Event Input: 4. While Canadian financial regulations are considered to be best in kind, they may pose an obstacle for financial institutions in adapting to the fintech ecosystem. The study found that there is a growing disconnect between regulations and the latest technological advances. Current regulations make it difficult for Financial Firms to undertake the low-level, rapid experimentation required to develop safe, useful fintech products and services. Symbol: Climate Event Input: New Chittoor facility During FY20, our eighth manufacturing facility in Chittoor district in Andhra Pradesh was commissioned with Phase I installed capacity of 0.4 million units. The total Phase I investment for setting up the manufacturing facility is around ` 622 crore for a projected 1.8 million units annual capacity. Symbol: Climate Event Input: However, Iberdrola has plans, technology and predictive systems that allow for the impacts arising from these events to be minimised, some of which we describe below: o Meteoflow predictive system, the main purpose of which is to predict the electricity production of renewable facilities, which, as part of their continuous improvement, has included the functionalities of predicting extreme meteorological phenomena, which allows for the activation of emergency plans sufficiently in advance and better management of maintenance equipment and emergency retainers to increase their resiliency. o The importance of smart grids to respond to extreme events like what occurred in Symbol: Not Climate Event Input: Examples of parameters that could impact Equinor’s operations include increasing frequency and severity of extreme weather events, rising sea level, changes in sea currents and restrained water availability. There is also uncertainty regarding the magnitude and time horizon for the occurrence of physical impacts of climate change, which increases uncertainty regarding their potential impact on Equinor. Symbol:	Not Climate Event
Input: For our stakeholders: for customers, breaches in security may cause personal loss (both financial and emotional). There may also be consequences for relations with suppliers and intermediaries. For investors, any loss of business or reputation could result in lower returns. PSD2 will increase consumers’ control over financial data, but also their responsibility for this data. Symbol: Climate Event Input: Water stress Household water scarcity caused by climate change is another physical risk, which is exacerbated by population growth and urbanisation. During periods of drought consumers may reduce their use of certain products including laundry detergents, shampoos and conditioners, and toilet cleaners as they are unable to access water to use them or experience declining water quality which limits their enjoyment and/or efficacy. While the overall impact of water stress on our sales, from both policy and physical impacts, was not found to be significant in our scenario analysis at a global level within the 2030 time horizon evaluated, the impacts we see in the short term tend to be more local. Symbol: Not Climate Event Input: Compliance risk Compliance risk is the risk of failure to comply with applicable rules and regulations, and in so doing, exposing the group to penalties and reputational damage. Penalties received or due for non-compliance are an example of this risk. As a leading financial services group, the group faces complex challenges to ensure that its activities comply with local legislation, regulations and supervisory requirements and the relevant international standards and requirements. Symbol: Climate Event Input: - The investments in our own investment portfolio ($4.4bn; including cash) are mainly concentrated in government bonds and fixed income instruments issued by European financial institutions; see our annual report 2019, pp. Symbol: Climate Event Input: At the start of 2018, we announced a plan to increase our investment in electrification—expected to be over $11 billion by 2022—to substantially increase the number of battery electric vehicles we offer around the world. And we will have more to announce in 2018 as we remain focused on designing smart vehicles for a smart world that help people move more safely, confidently, and freely. Symbol: Not Climate Event Input: On 24 July 2019, we entered into two new senior debt facilities agreements, a £375 million private placement with infrastructure lenders with maturities between 2024 and 2029, and a £125 million ESG facility agreement that matures in 2022. The ESG facility includes a mechanism that adjusts the margin based on carbon emissions against an annual benchmark. Symbol: Not Climate Event Input: IAG is exposed to multiple risks relating to the conduct of its general insurance business. The risks noted below are not meant to represent an exhaustive list, but outline those risks faced by IAG that have been identified in IAG's RMS:  strategic risk – the risk of not achieving corporate or strategic goals due to poor business decisions regarding future business plans and strategies and/or a lack of responsiveness to changes in the business environment; Symbol: Climate Event Input: The strategy involves not only a reduction of the Carbon dioxide footprint of the portfolio but also an innovative approach to aligning the portfolio with the two degree carbon reduction scenario in the future. Symbol: Not Climate Event Input: Given how essential bonds are to the global economy — as a source of risk management and returns for investors, as a source of capital for companies and governments — the lack of structural innovations to the bond market for many years was surprising. For decades, bond markets largely stayed the same. And in fact, investing in bonds became more difficult following the global financial crisis, as greater regulatory oversight and capital restrictions significantly reduced banks’ balance sheets and as a result, bond inventories. Symbol:	Climate Event
Input: However, given the unprecedented global supply chain issues that we are now seeing with many car manufactures and dealerships, we may be unable to purchase new EVs in sufficient numbers. In addition, our latest assessments of EV readiness in Europe show that, while the growth in public charging points continues apace, a significant number of countries are unlikely to have the infrastructure, fiscal incentives or model availability in place to support us reaching this goal by 2021. Symbol: Not Climate Event Input: $200 billion in financing to sustainable businesses and projects by 2030, with more than 50 percent focused on clean technology and renewable energy transactions to help accelerate the transition to a low-carbon economy. This commitment demonstrates how our products and services, operations and culture, and philanthropy can be harnessed toward a single goal. As an example, Symbol: Not Climate Event Input: These exercises highlight that not enough data are available for a bottom-up approach, assessing the vulnerabilities specific to Group clients and incorporating their response and remediation functions on a forward-looking basis. Symbol: Climate Event Input: Risks are assessed at least annually. Please refer to Section 6.1 Our approach to risk management, 6.2 Risk categories and factors, 6.3 Strategic risks, 6.4 Operational risks, 6.5 Compliance risks, and 6.6 Financial risks. Symbol: Climate Event Input: The Group is exposed to multiple risks relating to the conduct of its general insurance business. The following risks noted below are not meant to represent an exhaustive list, but the risks faced by the Group that have been identified by the RMS process:  strategic risk: the risk of not achieving corporate or strategic goals; Symbol: Climate Event Input: Megatrend As the world’s population becomes increasingly urbanized, infrastructure development and renewal will be unable to keep up, and major social issues such as housing shortages, traffic paralysis, and air pollution will only worsen. In newly emerging nations, environmental awareness will increase as the economy grows, and investments into environmental measures will proceed at the national and the global levels. Symbol: Not Climate Event Input: Risks—Transition Risks and Physical Risks Clients to whom MUFG has provided credits may be exposed to risks arising in the course of the transition to a low-carbon society, such as stricter regulation and the introduction of low-carbon technologies (transition risks). They can also be exposed to risks arising from physical damage due to the growing occurrences of climate change-induced natural disasters and abnormal weather (physical risks). If these risks were to impact the clients’ businesses or financial conditions, MUFG’s credit portfolio would also be exposed to substantial risks. Symbol: Not Climate Event Input: IAG is exposed to multiple risks relating to the conduct of its general insurance business. The risks noted below are not meant to represent an exhaustive list, but outline those risks faced by IAG that have been identified in IAG's RMS:  strategic risk – the risk of not achieving corporate or strategic goals due to poor business decisions regarding future business plans and strategies and/or a lack of responsiveness to changes in the business environment; Symbol: Climate Event Input: IAG is exposed to multiple risks relating to its general insurance business. The risks noted below are not meant to represent an exhaustive list, but outline the material risks faced by the Group as identified in the RMS:  strategic risk – the risk that internal or external factors compromise our ability to execute our strategic objectives or our strategy; Symbol:	Climate Event