A new report, Investing in a Time of Climate Change — The Sequel, documents Mercer’s latest climate scenario model for assessing the effects of both climate-related physical damages (physical risks) and the transition to a low-carbon economy (transition risks) on investment return expectations. The Sequel models three climate change scenarios, a 2°C, 3°C and 4°C average warming increase on preindustrial levels, over three timeframes – 2030, 2050 and 2100.
In 2011, Mercer published its first global research report on climate change and its implications for strategic asset allocation, in partnership with a number of institutional investment clients. In June 2015, Mercer released a major update, Investing in a Time of Climate Change, another client collaboration.
