The Oxford Sustainable Finance Programme regularly works with leading financial institutions to improve the practice of sustainable finance and investment. We improve the 'state of the art' in terms of integrating the environment, sustainability, and climate change into financial institution decision-making. We do this through applied research projects that operationalise considerations of environment-related risks, opportunities, and impacts. Applied research projects often involve the development and application of asset-level data, spatial analysis, scenarios, and stress tests, and can also focus on how information is presented and used.
Our applied research projects also generate public goods (e.g. publicly available research, data, practices, and frameworks) that help to improve best practice and ratchet up the quality of routine practice across the financial system. Our applied research projects also help us to identify where new research is required and what should be prioritised.
This work makes capital less likely to flow to assets that are incompatible with sustainability and more likely to flow to assets that are. This is a necessary condition to address climate change and the other environmental challenges facing humanity. Doing so will also help financial institutions appropriately manage risk, improving the resilience of the financial system as a whole.
If you are interested in developing applied research projects with the Oxford Sustainable Finance Programme, please contact Dr Ben Caldecott.