price, the equilibrium risk-free rate, and risk premia. Climate disasters, which are more likely to occur sooner as … temperature rises, significantly increase risk premia. …

the costs and benefits of abatement. Investors price uncertain assets according to their expected return and risk (carbon … abatement. However, their effect on the carbon beta and risk premium of abatement can be decreasing (when innovation spillovers … when the actions of the regulator fall short. These instruments must also consider the investment risk and the sequence of …

basis risk borne by the sponsor while still preserving a non-indemnity trigger mechanism. Our results indicate that the …

We examine the association between carbon risk and future stock price crash risk and the moderating role of climate … change disclosures in this association using a sample of firms across the world. We find that carbon risk is positively … associated with future stock price crash risk, and firm-level climate-change disclosures attenuate the positive effect of carbon …

The Security and Exchange Commission (SEC) has considered climate change as a risk issue since 2010. Several emission … financial performances, especially of listed companies. There are two ways these companies can disclose their transition risk … exposure and are not alternatives. One is the explicit declaration of exposure to transition risk in the legally binding …

that lead to these assets becoming stranded. Our result suggest that climate change implies a positive and increasing risk … risk. Transition risks lower substantially the participation of carbon intensive assets in the market portfolio, which …

risk vary across decile portfolios of stocks sorted by market equity (ME) and book-to-market equity ratio (BE/ME). Abnormal … returns, illiquidity and tail risk are negatively related to firm size, with small-firm stocks exhibiting a larger negative … extremes of the decile range exhibit the most negative abnormal return, illiquidity and tail risk effects. Moreover …

risk premium, with the overall equity premium depending on the volatility of the stochastic process that governs climate … change risk. Transition risks lower substantially the participation of carbon intensive assets in the market portfolio, which …