- Investors are concerned that companies risk overstating financial statements by failing to include the effects of climate change on profits and assets
Major investor groups from around the world and representing assets worth over $US103 trillion have released an open letter on accounting standards calling on companies and auditors to fully reflect the effects of climate change in their declared results.
In particular the groups call for compliance with groundbreaking new guidance from the International Accounting Standards Board (IASB) on the pressing need to reflect climate-related risks in financial reports.
The letter was signed by the Principles for Responsible Investment (PRI), the UN Environment Program Finance Initiative (UNEP FI), the UN-convened Net-Zero Asset Owner Alliance initiative, the Institutional Investors Group on Climate Change (IIGCC), Investor Group on Climate Change (IGCC), the Asia Investor Group on Climate Change (AIGCC) and the Pensions and Lifetime Savings Association (PLSA).
Read the open letter
Read the full media release