Trails for Climate Disclosure: A Regulatory Overview

Published in partnership with the Swiss Federal Office of the Environment, this report provides detailed guidance on how financial regulators and policymakers can support climate transparency by financial institutions and thus help to implement the recommendations of the Task Force on Climate-Related Financial Disclosures (TCFD).

These recommendations were issued a few days before the launch of this report and build on the climate risk taxonomy (developed by 2° Investing Initiative as part of the Portfolio Carbon Initiative work with WRI and UNEP-FI)

Our report describes four pathways which are related to the following points:

  • France’s pioneering investor transparency law in the form of Article 173 and the subsequent Climate Reporting Awards, co-organized by 2° Investing Initiative, the French Environment Ministry, and the French Treasury;
  • The Swiss government’s pathway, pursued in partnership with 2°ii and based on a free and voluntary 2°C assessment for all Swiss pension funds;
  • Internal assessments by regulators across Europe and in the United States looking at mobilising existing supervisory data and reporting (notably under EIOPA guidelines for insurance companies);
  • Public reporting of portfolio data allowing for third-party assessments, as is currently the case for Swedish public pension funds and US insurance companies and mutual fund managers.