Finance: Climate Risks and Opportunities for Leaders in Business and Society

(3 Credits)

Climate change presents one of the central challenges of our generation, with a wide range of possible effects on financial markets and the broader economy. This class: (i) Thinks about the effect of climate change on the overall economy; (ii) Studies the risks and opportunities that climate change hold for firms and financial institutions (distinguishing between a variety of types of risk, including transition risk and regulatory risk); (iii) Discusses how financial markets can help transfer and hedge climate risk; (iv) Explores the economic and financial foundations of potential climate regulation; (v) Analyzes how climate risk interacts with other risks, such as the risk of future pandemics