Sustainability teams face a growing challenge: multiple climate disclosure frameworks now require physical risk data, scenario analysis, and asset-level exposure metrics. IFRS S2, CSRD, CDP, and others each define these requirements differently, with distinct thresholds, timelines, and levels of prescriptiveness.…
The Corporate Sustainability Reporting Directive (CSRD) and the International Sustainability Standards Board (ISSB) both require companies to disclose climate-related risks. They share common DNA through the TCFD framework. Yet the two standards differ in fundamental ways that determine what companies…
Regulators and investors are paying closer attention to how companies depend on and affect the natural world. The Taskforce on Nature-related Financial Disclosures (TNFD) developed the TNFD LEAP approach as a structured methodology for identifying and assessing these nature-related issues.…
The Corporate Sustainability Reporting Directive (CSRD) is the EU law that requires large companies to publish audited sustainability information alongside their financial accounts. It sets out what to report through the European Sustainability Reporting Standards (ESRS), a single rulebook of…
The Task Force on Climate-related Financial Disclosures (TCFD) shaped how companies reported climate risk for six years. In October 2023, the TCFD was officially disbanded. The International Sustainability Standards Board (ISSB) and its IFRS S2 standard are now the global…
Every major climate disclosure framework now requires some form of scenario analysis. IFRS S2, CSRD, CDP, TCFD, AASB S2, and banking regulators all expect companies to assess how different warming pathways could affect their operations and financial position. The problem:…
TL;DR IFRS S1 sets the umbrella; S2 adds climate. S1 covers all sustainability disclosures; S2 is the mandatory climate module that must be applied with S1. Four pillars: Governance, Strategy, Risk Management, Metrics and Targets. S2 adds climate-specific requirements to…
Stranded assets are investments that lose their value well before the end of their expected economic life. The term originated in fossil fuel analysis but now applies across real estate, infrastructure, and power generation. According to the IPCC AR6 assessment,…
What Are CSRD and CSDDD? CSRD and CSDDD are two EU sustainability directives with fundamentally different purposes. The Corporate Sustainability Reporting Directive (CSRD) tells companies what to disclose about their sustainability impacts. The Corporate Sustainability Due Diligence Directive (CSDDD) tells…
Climate change creates two distinct categories of financial risk that every organization with physical assets or carbon-exposed operations needs to understand. The Task Force on Climate-related Financial Disclosures (TCFD) established the canonical framework for categorizing these risks, and every major…
