Climate Risk Impact: Adapting Investment Processes and Compliance

Summary

As the effects of the climate crisis worsen, financial institutions face significant risks in the long term. From physical risks that lead to serious economic damage to potential risks that may arise during the transition to a low-carbon economy, financial institutions need to adapt to meet these challenges head-on.

In today’s landscape, investors are increasingly concerned about the impact of climate change, so much so, that managing and mitigating climate-related risks and opportunities now form an integral part of the investment process. At every level, from portfolio to sector to asset class, climate-related risks play a vital role in the decision-making process. For firms that are proactive and transparent in their approach to climate-related risks, the benefits of incorporating rigorous assessments into their workflows mean they’ll be well-placed to reduce the impact of regulatory, reputational, and financial risks to their stakeholders. Investors have an important part to play in combatting the effects of climate change and leading the transition to a greener, cleaner economy.

When it comes to mitigating the impact of climate change, financial institutions are key stakeholders. The industry has already taken an important step by adopting the ESG Risk Framework, which details guidance, policies, and procedures for effectively managing risks. By embedding this framework within their existing due diligence workflows, financial institutions can strengthen their ability to assess, disclose, and limit potential environmental, social, and governance risks related to the investment process.

In this event, keynote speaker Hortense Bioy, will provide a deep dive into the sustainable investment process. The presentation is followed by a panel discussion with industry experts Damien Contamin, Nathalie Wallace and Marie-Laure Schaufelberger.

Topics covered include:

• The different climate change strategies and their impact on portfolios, from mitigating climate-related risks to identifying new opportunities.
• How professionals can integrate climate into their investment strategies and the selection process.
• How Private Banking and Asset Management firms can successfully execute these new strategies.
• How banks and investment fund managers can apply a variety of approaches to manage climate risk in investments along with the practicalities involved.
• The main challenges and barriers involved in integrating and implementing climate risk strategies into the investment process.
• The process of accessing and effectively using high-quality, transparent data to inform strategies.
• The most common methodologies, standards, targets, and metrics involved in the sustainable investment process.
• How the compliance process can combat risks such as liability and greenwashing.How firms can effectively communicate the sustainable investment process to clients to strengthen their relationships, align their portfolios, and empower them to make informed decisions.

Presenters

• Hortense Bioy is global director of sustainability research for Morningstar and leads Morningstar’s environmental, social, and governance research efforts globally, with the objective of educating investors and providing them with the tools they need to evaluate funds through an ESG lens. Prior to assuming this role in February 2021, she was responsible for Morningstar’s sustainability research in EMEA for three years. Before transitioning to a dedicated ESG focus, Bioy was European director of passive strategies research. She led an award-winning team that provides research on exchange-traded funds and index funds. Bioy joined Morningstar as an ETF analyst in 2010 from Bloomberg, where she was a financial journalist. Bioy holds a master’s degree in finance from Paris Dauphine University and a postgraduate degree in finance from Paris-Sorbonne University. She also holds the Chartered Financial Analyst® designation.
• Nathalie Chanteclair is Sustainability Specialist at Banque Lombard Odier & Cie SA.
  Nathalie has more than 36 years experience on financial markets. She held different positions in the Fixed Income space before joining Lombard Odier in 2004 as a Fixed Income advisor. From 2009 to 2021 she managed multi-asset discretionary mandates and actively developed the ESG offering for private clients and Swiss foundations. She is now fully dedicated to sustainability and supports the development of sustainable multi-asset investment solutions within the private bank. Nathalie graduated from ESSEC and is CWMA certified.
• Damien Contamin – CSR and Non-financial Risk Manager at BCGE
  Damien Contamin joined BCGE in 2021 as non-financial risk manager. He is also CSR manager. He began his career at Société Générale in Zurich, as an FX derivatives sales/trader. He worked for 10 years at the Banque Cantonale Vaudoise as a specialist in structured products. He holds two master’s degrees in in-depth quantitative economics from the Toulouse School of Economics and the CFA ESG investing title.
• Nathalie Wallace – Chief Sustainability Officer at Edmond de Rothschild
  Nathalie joined the Edmond de Rothschild Group in November 2023. She oversees all the Group’s sustainable initiatives, both in Asset Management and Private Banking. She will also use her vision and experience to further develop the strategic ESG focus of our investment house. Nathalie is responsible for continuing the in-depth work on ESG that began several decades ago within the Group. She works closely with our investment teams to ensure that we meet our clients’ sustainability objectives.
  Nathalie has over 20 years’ experience combining portfolio management, strategic vision and executive leadership to lead the financing of the climate and social transitions. She has spent her entire career in Boston in the US for almost 25 years
• Marie-Laure Schaufelberger is Head of Sustainability and Stewardship for the Pictet Group where she drives corporate and business strategy for the Pictet’s Responsible Vision across investments and its own assets. She began her career at Pictet in 2007 in media relations and public affairs where she was also responsible for Corporate Social Responsibility initiatives. In 2014, she joined Pictet Asset Management’s Thematic Equities team as a client portfolio manager across several environmental and social thematic strategies. Marie-Laure holds a Master’s degree in International Relations from the Graduate Institute of International and Development Studies in Geneva and is a CFA charter holder. She is the President of Sustainable Finance Geneva, a pioneer association dedicated to promoting sustainable finance through strategic partnerships in the Swiss market and beyond.

Introduction by Jean-Pierre Colombara, Board Member Swiss Risk Association and moderation by Hortense Bioy, CFA, Director of Sustainability Research at Morningstar.

Agenda

17:45 Doors open – Name Tag Collection
18:00 Introduction (Jean-Pierre Colombara)
18:05 Presentation (Hortense Bioy)
18:30 Round table (moderated by Hortense Bioy)
19:15 Q & A (all)
19:40 Networking drinks (all)
20:30 End

Chapter Event

This Chapter Event is available for members only. Our expert speakers will share their knowledge, updates, and best practices on a specific risk topic. Within the small groups of risk professionals, you will have the opportunity to engage in exciting discourse about the industry. This event is hosted by Chapter Romandie.