Climate Risk & Volatility: Implications for Financial Markets

Climate Risk & Volatility: Implications for Financial Markets

Event Name Climate Risk & Volatility: Implications for Financial Markets
Start Date 18 Oct 2018 12:30 pm
End Date 18 Oct 2018 1:15 pm
Duration 45 minutes

Climate Risk & Volatility: Implications for Financial Markets

Have you been feeling the heat?

We mean literally! The temperature volatility has become important to investors as they come to grips with environment related financial markets - so, what are the facts and what does it all mean?

Temperatures are gradually rising, but even more concerning is the increase in the frequency and intensity of extreme weather events. Modelling temperature volatility is an important issue in weather derivative markets. The weather derivatives market is still largely illiquid in Australia, but is expected to grow as climate risks are becoming more prominent.

Since the late 1990s, energy companies in the US already started to used weather data as the basis for risk indices. In 1999, the Chicago Mercantile Exchange (CME) began trading weather derivatives. Modelling temperature volatility is now the topical issue for pricing and hedging on the derivatives market.

As climate change risks are rising, investors are becoming more concerned about carbon bubbles and stranded assets in financial markets. Risks result not only from carbon constraints (e.g. limits to fossil fuel extraction and carbon constraints) but also changing technology landscapes and social expectations)

Join us to hear from two prominent experts in Environmental Finance, Statistics and Economics Professor Martina LinnenlueckeProfessor Ostap Okhrin who will present about the financial implications of climate risk and volatility for financial markets.

We hope you can join us & look forward to seeing you,

Presenters:Professor Martina Linnenluecke & Professor Ostap Okhrin

Thursday 18th October, 2018


12:30 pm - 1:15 pm

To RegisterPlease Click Here

Macquarie University City Campus

Level 24/123 Pitt Street, Sydney, NSW 2000


The event is moderated by Macqaurie Uni's Dr Abhay Singh (Senior Lecturer in Applied Finance and Director of the Finance Decision Lab) and ESG Expert Dan Daugaard (Deputy Head, ESG Resarch, Centre of Corporate Sustainabilty and Environmental Finance).

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