The Role of CDP Disclosure to Improve Access to Capital
Do climate-related disclosures lead to better financial performance, or are they merely a symbolic measure to improve public reputation, without materially affecting the firm’s performance? Are capital allocation decisions affected by climate-related disclosures? Does disclosing climate-related information create value and does it justify the costs? If so, where should firms disclose climate-related information given the proliferation of rules, guidelines and standards on sustainability?
To help answer some of these complex questions, this research note examines one dimension in which climate-related disclosures could affect firm performance: access to capital.
Yesterday, RBC Global Asset Management published it 2016 Responsible Investing Survey Survey and it has some very interesting findings. Its overarching message is that "even as capital pours into ESG investing, data and understanding in this area remains incomplete and...