The ground breaking report, Climate Change Scenarios – Implications for Strategic Asset Allocation, analyses the potential financial impacts of climate change on investors’ portfolios, identified through a series of four climate change scenarios that are played out to 2030.

This research was a collaborative endeavour led by Mercer, together with 14 global institutional investors, the International Finance Corporation, a member of the World Bank Group, and the Carbon Trust.

Key findings and recommendations

In the report, a framework is outlined that can be used by institutional investors to enhance their understanding of climate-related investment risks and opportunities across a number of asset classes and regions. Mercer’s TIP ^TM Framework estimates the potential rate of investment into low-carbon technologies (T), the impacts on the physical environment (I) and the implied cost of carbon resulting from global policy (P) across four climate scenarios. 

Some of the key findings and recommendations are as follows:

How can investors put this research to use?

We can help investors put this research to use in a number of ways, as outlined below. Our services are available to asset owners, investment managers, multi-asset managers, investment platforms, and government and industry groups and associations.

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Contact us

Our Responsible Investment business was established in 2004 and includes 15 global professionals. To discuss our climate-related services, please contact a Mercer office in your region.