Physical climate risk can be acute (driven by an event such as a flood or storm) or chronic (arising from longer-term shifts in climate patterns). Climate hazards present increasing financial risks including damage to assets, interruption of operations, and disruption to supply chains. S&P Global Physical Climate Risk data intelligence is built on our latest generation climate risk models, geospatial data, ownership mapping and vulnerability pathways, enhancing environmental risk management and providing a comprehensive physical climate risk assessment.
Physical climate risk financial impact exposure is not evenly distributed across sectors. Within the S&P Global 1200, companies in the Utilities, Energy and Materials sectors are most likely to hold assets at high financial risk. However, exposure to high financial risk assets increases across all sectors between the 2050s and the 2090s.
These charts show the weighted average financial impact metrics under the moderate-high (BAU) scenario in 2050 and 2090. Water stress and extreme heat present the highest financial impacts to 2050 but are overtaken by coastal flood by 2090, emphasizing the importance of climate risk monitoring. Coastal flood/sea level rise is a slow developing consequence of climate change and only begins to present significant financial impact after 2050. The high financial impact associated with coastal flood is driven by the high cost of repair and cleanup following a flood, underlining the need for climate risk mitigation solutions.
These charts present the weighted average financial impact metrics for each GICS sector in the S&P Global 1200 and the contribution of each climate hazard under the moderate-high scenario in the 2050s and 2090s. The utilities sector has the highest financial impact in the 2050s due to sensitivity to heat and water stress. Water stress and extreme heat present the highest costs to 2050 but are overtaken by coastal flood by the 2090s. Coastal flood/sea level rise is a slow developing consequence of climate change and only begins to present significant costs after the 2050s due to the physical climate risk it presents.
Get a clearer view of your exposure with climate risk analytics. Our latest generation climate risk models, geospatial data, ownership mapping and vulnerability pathways, and actionable financial impact analysis provide a physical climate risk assessment.
Assess your physical climate risk dataRobust methodology leverages the latest available climate change models (CMIP6), ensuring an accurate physical climate risk assessment.
Consistent global coverage of nine key hazards: coastal flood, fluvial flood, pluvial flood, extreme heat, extreme cold, tropical cyclone, wildfire, water stress, and drought.
Proprietary impact functions model the vulnerability of >250 unique asset types to the financial consequences of climate change hazards
Physical risk scores represent point-in-time exposure to climate hazards, highlighting the importance of timely climate risk data.
Built on a proprietary database of over 3.1 million asset locations linked to corporate entities and ultimate parent entities, enhancing physical climate risk.
Coverage of more than 20,000 companies representing over 98% of global market capitalization.
The Weather Source dataset offers a single source of truth for hyper-local weather and climate data to quantify weather related risks and trends.
Explore climate risk dataWeather observations
Weather forecasting
International postal codes
U.S. ZIP Codes covered
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