Course Outline

Module 1: Foundations of Climate Risk in the Anthropocene

• The evolving climate risk landscape: Physical, Transition, and Liability risks

• Climate science essentials for risk professionals: trends, projections, and tipping points

• Global regulatory and disclosure drivers: TCFD, ISSB, CSRD, and NGFS

• The financial materiality of climate risk: case studies of loss and disruption

• Exercise: Mapping an organization’s exposure to acute and chronic climate hazards

Module 2: Climate Risk Identification & Assessment Frameworks

• Methodologies for systematic risk identification (heat maps, workshops, surveys)

• Data sourcing and challenges: climate models, satellite data, and proxy indicators

• Qualitative risk assessment: impact/likelihood matrices and vulnerability curves

• Introduction to sector-specific risk profiles (agriculture, finance, infrastructure, health)

• Practical Exercise: Conducting a qualitative climate risk assessment for a chosen sector

Module 3: Quantifying Climate Risk: From Hazard to Financial Impact

• Introduction to climate financial modeling and loss estimation

• Quantifying physical risk: flood, drought, heat stress, and extreme weather damage functions

• Quantifying transition risk: carbon pricing, technology shifts, and policy change impacts

• Tools and software overview for risk quantification (CAT models, climate analytics platforms)

• Workshop: Estimating potential financial losses from a specific physical climate hazard

Module 4: Integrating Climate Risk into Enterprise Risk Management (ERM)

• Aligning climate risk with the COSO ERM framework

• Risk appetite and tolerance statements for climate-related exposures

• Embedding climate risk in organizational culture, roles, and responsibilities

• Case Study: Reviewing and critiquing a corporate ERM framework for climate integration gaps

Module 5: Strategic Responses & Risk Treatment Strategies

• The risk treatment hierarchy: Avoidance, Mitigation, Transfer, Acceptance

• Climate adaptation and resilience-building for physical risks

• Decarbonization and innovation strategies for transition risks

• Risk financing and transfer: insurance, catastrophe bonds, and blended finance

• Scenario Exercise: Developing a risk treatment plan for a company facing concurrent physical and transition risks

Module 6: Scenario Analysis & Stress Testing for Resilience

• Principles of climate scenario analysis: NGFS, IEA, and IPCC pathways

• Building internally consistent scenarios for strategic planning

• Stress testing operational, financial, and market resilience under different futures

• Identifying strategic opportunities in the low-carbon transition

• Hands-on Session: Developing and applying scenarios to stress-test a business model or investment portfolio

Module 7: Climate Risk in Investment, Credit, & Portfolio Management

• Climate risk in project finance and capital budgeting (including discount rates)

• Assessing climate risk in credit ratings and lending portfolios

• Strategies for green, resilient, and transition-oriented investing

• Tools for portfolio alignment and temperature scoring

• Case Study: Performing a climate risk-adjusted valuation for a capital investment project

Module 8: Governance, Internal Controls & Audit

• Effective climate risk governance: Board oversight, committees, and management roles

• Designing internal controls for climate risk management processes

• The role of internal and external audit in assuring climate risk management

• Building accountability and performance incentives linked to climate resilience

• Workshop: Drafting a Climate Risk Governance Charter and committee terms of reference

Module 9: Disclosure, Reporting & Stakeholder Communication

• Deep dive into disclosure frameworks: TCFD, ISSB (IFRS S2), and CSRD

• Crafting effective narrative reporting on governance, strategy, risk management, and metrics

• Metrics and targets: setting and reporting on climate-related KPIs

• Communicating with investors, regulators, and the public

• Practical Exercise: Drafting the core elements of a TCFD/ISSB-aligned disclosure report

Module 10: Capstone-Developing a Climate Risk Management Action Plan

• Synthesizing the course: From assessment to strategy to implementation

• Components of a robust Climate Risk Management Action Plan (CRMAP)

• Roadmapping implementation: Phases, resources, timelines, and milestones

• Final Capstone Project: Participants develop a comprehensive CRMAP for a real or simulated organization

• Final Presentations & Peer Review: Presenting action plans and receiving feedback from facilitators and peers