contribute to scale up new green investments, or introduce new sources of risk for financial stability, is poor. In addition, the … economy and on the credit market conditions. We analyze the risk transmission channels from the credit market to the economy … sentiments could be a game changer for the low-carbon transition by increasing investments' alignment and preventing the risk of …

We examine whether climate change news risk is priced in corporate bonds. We estimate bond covariance with climate … asset pricing implications of demand for bonds with high potential to hedge against climate risk. Moreover, when investors … are concerned about climate risk, they are willing to pay higher prices for bonds issued by firms with better …

This paper constructs a novel measure of climate risk at the firm level by adopting a textual analysis method. The …, allowing us not only to construct a total climate risk measure but also to obtain disaggregated climate risk measures, such as … those related to long- versus short-run factors, as well as corporate functions affected by climate risk. We analyze the …

We propose and implement a method to identify shocks to transition risk, addressing key challenges regarding its … risk in the United States. These shocks have important aggregate effects, also inducing financial instability. They are …

future climate risk regimes where weather extremes are becoming more frequent and intense. Using a stochastic dynamic …