Growing socio-economic inequality poses one of the greatest challenges to society, thereby raising new questions about the responsibility of corporations to address its effects. Inequality also poses material risks on business performance, including inefficient production, reduced innovation,...

Climate change can be a source of financial risk. This paper examines how credit rating agencies accepted by the Eurosystem incorporate climate change risk in their credit ratings. It also analyses how rating agencies disclose their assessments of climate change risks to rating users. The paper...

With a growing consensus that climate change poses acute risks to the global economy, companies increasingly disclose their climate-related risks to investors. However, such climate risk disclosures lack uniformity, complicating many investors’ ability to accurately compare and ascertain these...

Companies in Europe and the US are required to explain the significant risk factors they face in their annual reports. Prior studies provide mixed evidence of the informativeness of such textual risk disclosures, suggesting that these disclosures are an amalgam of both boilerplate and...