Climate change presents material risk for shareholders. Its harms are felt directly and indirectly across investor portfolios. As the physical harms of heat, drought, fire, floods, and pests, race across the nation, the costs to the economy grow.
As governments work to combat climate change, the risk to high carbon companies also grows. Whether companies are proactive or reactive on climate change and its impacts will affect shareholder value. Energy companies in particular face important choices. Those that choose to continue investing in use of and exploration for more fossil fuel reserves increase their risk of stranded reserves and infrastructure, known as Carbon Asset Risk. Others may instead choose to diversify, reducing their focus on fossil fuels and deploying and expanding energy efficiency and renewable energy sources.
As You Sow is working to address the challenges and risks of climate change by providing shareholders and fossil fuel companies with resources to facilitate a transition from investment in high carbon fossil fuels to clean and renewable sources of energy.