Dr. David K.A. Mordecai was invited to participate in the Institute of International Bankers (IIB) Climate Change Scenario Analyses webinar. The webinar was held on November 8, 2021, and was co-hosted by Cushman & Wakefield and CoreLogic.
The agenda for the webinar posed the following questions:
- For large US-based international and national banks, what climate-related data will be required under regulatory reporting?
- How will climate risk be scored?
- Will climate risk scoring influence credit availability to certain borrowers?
- How will Greenhouse Gas (GHG) emissions, physical risks and transition risks be measured and managed?
David Mordecai primarily discussed the role of transition risk and contingent liability analysis in stress-testing corporate and municipal cost structures via transmission channels (e.g., credit spread volatility, funding illiquidity, commodity supply/demand shocks, telecommunications, electricity and transportation network traffic) corresponding to climate-related regional weather volatility. He further highlighted the need to broaden the definition and scope of climate risks and stranded assets, as well as the necessity for rigorous scientific measurement of pertinent weather volatility statistics, and corresponding economic exposure to damage (particularly at the relevant temporal and spatial scales, i.e., mesoscale conditions and events).
The panel was moderated by David L. Risdon, Senior Managing Director and Head of Banking & Regulatory Solutions, Cushman & Wakefield. The panelists were the following:
- Chris Bennett: Global Head of ESG Strategy and M&A, S&P Global Sustainable
- Peter Carroll: Executive, Public Policy and Industry Relations, CoreLogic
- Hugh Conroy: Partner, Financial Institutions Regulation, Cleary Gottlieb
- Robert Engle, PhD: Nobel Laureate in Economics, Professor Emeritus of Finance, NYU Stern School of Business, Co-Director, The Volatility and Risk Institute and Co-Author, The Federal Reserve Bank of New York’s Report on Climate Stress Testing
- David K.A. Mordecai, PhD: RiskEcon® Lab @ Courant Institute of Mathematical Sciences NYU, and Co-Managing Member, Numerati Partners®
The webinar can be viewed here.
About Numerati® Partners LLC
Numerati® Partners LLC coordinates a data analytics and technology development ecosystem, with the mission of advancing and fostering the next generation of scalable data-intensive risk and liability management enterprises. The firm provides resources fundamental to advancing the development of nascent leading-edge inferential surveillance, monitoring, and predictive analytics technologies for deployment within the RiskTech domain: risk technologies associated with adaptive distributed, networked and embedded systems such as remote sensing, agent-oriented data analytics, computing and control systems. Numerati® Partners curates integrated RiskTech solutions as well as forensic and use-case applications in RiskTech sub-domains such as LitTech, RegTech, FinTech and InsurTech (litigation technology, regulation technology, financial technology and insurance technology).About RiskEcon® Lab @ Courant Institute
The mission of RiskEcon® Lab for Decision Metrics @ Courant Institute of Mathematical Sciences is the development of experimental testbeds and analytics that employ high-dimensional datasets from innovative sources by applying a range of computational and analytical methods to commercial and industrial sensor networks and edge computing embedded systems, focusing primarily on research and development (R&D) of remote- and compressed- sensing, anomaly detection, forensic analytics and statistical process control.
RiskEcon® Lab for Decision Metrics was established in 2011 at Courant Institute of Mathematical Sciences, an independent division of New York University (NYU). Courant is considered to be one of the world’s leading mathematics educational and scientific research centers, and has been ranked first in research in applied mathematics. RiskEcon® Lab is the cornerstone of the Computational Economics and Algorithmic Data Analytics (CEcADA) cooperative at New York University, established concurrently in 2011.
November 9, 2021 | New York, NY