This special issue first examines the use of data to produce a benchmark or comparable (‘comp’) of the climate risks of infrastructure companies, discussing EDHECinfra & Private Assets’ data that is both granular and robust.
It’s Getting Physical: Some investors in infrastructure could lose more than half of their portfolio to physical climate risks by 2050
We show that the physical risks created by climate change are not limited to a distant future for investors in infrastructure, some of whom could well lose more than 50% of the value of their portfolio to physical climate risk before 2050 in the event of runaway climate change.
Is Thames Water just a case of bad management?
Can you really lose GBP1.5Bn in a couple of quarters when investing in a water utility? Investments in infrastructure like water utilities are very often presented as ‘boring’, slow-moving, low-risk assets, that also happen to be cash cows. That latter point is true, as my colleagues have shown in previous research. The rest is wishful thinking at best, but mostly … Read More
IPE Supplement: EDHEC Research Insights
This infrastructure investment special issue first looks at the use of data to produce a benchmark or comparable (‘comp’) of the climate risks of infrastructure companies.
Towards more frequent marks
Recently APRA, Australia’s pension regulator called for comment on the update of “SPG 530 Investment Governance” – a Prudential Practice Guide. This, combined with the update to SPS 530 – the Investment Governance prudential standard is interesting for infrastructure investors. Key questions are what is happening, why, and what this means for infrastructure investments? Firstly, what is happening? APRA is … Read More
P&I Supplement: Research for Institutional Money Management
In the first EDHEC Climate and Finance special issue of the supplement, we contribute an article analysing the outperformance of low-carbon energy infrastructure investments over the past decade.