Sustainable Finance Regulatory Outlook 2025

Turn Climate Risk Into Clear Financial Insight

Translate Complex Scenarios Into Smarter Decisions

Understand how physical and transition risks could impact your portfolio over time. Explore multiple climate pathways, assess exposure at every level, and take action with clarity and confidence.

Trusted by Leading Financial Institutions

Climate Blind Spots Are Investment Liabilities

Investors are under growing pressure to understand the financial impact of climate change. But with long-term models full of assumptions and inconsistent data across scenarios, getting a clear picture isn’t easy. Without a structured, science-based approach, critical risks can go unnoticed putting capital and credibility on the line.

Our Solution, at a Glance

Put Climate at the Center of Risk Management

Look Ahead, Understand Risk Over Time

Multiple scenarios and time horizons for a complete view of climate risk:

  • Explore three climate scenarios, from Net Zero to High Warming
  • Assess risk over four time horizons—from short to long term
  • Uncover resilience gaps in your investments across future pathways

Pinpoint Where and How Risk Shows Up

A clear breakdown of climate risk drivers to guide smarter decisions:

  • Aggregated climate risk score at company and portfolio level
  • Distinction between Transition, Physical Acute, and Chronic risks
  • Transparent view of risk type and its potential financial impact

Cover More Ground, Miss Fewer Risks

Robust coverage to reduce blind spots across asset classes:

  • Coverage of 4.9 million securities, and 128,400 organizations worldwide
  • Climate risk data linked to individual securities
  • Built to support portfolio-wide risk visibility and comparison

What We Stand For

Reliable Climate Data. Clearer Investment Decisions.

Systemic Risk Meets Real-World Relevance

Make better investment decisions with climate risk assessments that go beyond surface-level hazards. Clarity AI combines systemic models from Ortec Finance with company-specific data to capture the full financial impact of climate change across supply chains, operations, and economies. By integrating detailed business activities and geographic exposure, we provide risk insights that are both broad in scope and grounded in reality.

Beyond Climate Scenario Analysis

Factor Different Metrics Into Your Risk Assessment

Nature and Biodiversity

Identify portfolio exposure to nature-related risks, quantify biodiversity impact, and align with reporting best practices with confidence.

Climate Transition

Assess your portfolio’s Net Zero maturity with science-based criteria from the Net Zero Investment Framework. 

Carbon Footprint

Measure, compare, and report on financed emissions with transparent, high-coverage data aligned with TCFD and PCAF standards.

One Solution for Every Use Case

Climate Scenario Analysis for Every Financial Institution

Strengthen Portfolio Resilience

Identify and manage climate-related risks across your portfolios with scenario-based insights. Evaluate transition and physical risk exposure to support long-term investment strategies and regulatory alignment.

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Understand Exposure, Steer Strategy

Assess portfolio alignment with climate scenarios and uncover systemic risks. Use forward-looking insights to guide engagement, policy decisions, and capital allocation.

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Support Client Conversations with Climate Data

Bring future risks into focus with simple, explainable insights. Enhance trust by showing how climate risks could affect investment outcomes over time.

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Integrate Climate Risk into Lending and Underwriting

Quantify the financial impact of climate change on counterparties. Use granular data and systemic risk models to inform lending, stress testing, and disclosure.

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Frequently asked questions

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  • What types of climate scenarios are included?

    We use proprietary scenarios developed by Ortec Finance and Cambridge Econometrics, which go beyond the standard IPCC Shared Socio-economic Pathways (SSPs). These scenarios incorporate additional assumptions on policies, technologies, and sectoral/regional exposure to better reflect transition risks and opportunities. For each scenario, we provide a reference to the closest corresponding IPCC pathway—so you get both tailored insights and global comparability.

  • How can Climate Scenario Analysis be integrated into our systems?

    Absolutely. You can access the data through Clarity AI’s web app, or seamlessly integrate it into your own systems via flexible API and data feed options with no disruption to your existing workflows.

  • Can I analyze risk at both the security and portfolio level?

    Yes. We provide detailed risk outputs at both levels, including sector and issuer-level breakdowns. This allows you to drill down into exposures while maintaining a full portfolio view.

  • How are transition and physical risks differentiated?

    Our solution clearly separates Transition, Physical Acute, and Physical Chronic risks. This helps you understand not only the overall climate risk but also its root causes and likely financial impact over time.

  • How is company-specific context reflected in the analysis?

    We combine systemic scenario models with bottom-up inputs like geographic revenue exposure and business activities. This hybrid approach tailors risk analysis to each company’s footprint, offering decision-grade insights that go beyond static climate models.

Research and Insights

Latest news and articles

AI

[Sustainability Wired] Artificial Intelligence in Finance: How Investors Are Unlocking 40% Productivity Gains

Lorenzo Saa and Neil Brown explore how the use of artificial intelligence in finance is helping investors unlock 40% productivity gains.

Biodiversity

[Sustainability Wired] Biodiversity and Investment: There’s an $8.1 Trillion Need. But Is It An Opportunity?

Lorenzo Saa and Rose Easton explore why biodiversity is rising on investor agendas—and what’s still holding capital back from flowing into nature.

Gender Equality

The Real Business Case for Diversity: Data, Decision-Making, and Competitive Advantage

Discover why real diversity goes beyond demographics and how companies can leverage it as a competitive advantage in this discussion with Clarity AI’s leaders.