Disclosure regulation can play an important role in pushing corporate leaders “to think about important issues systematically”, says Dr Ben Caldecott, Director of the Oxford Sustainable Finance Programme. “But let’s put it in perspective . . . it won’t produce the big, major changes required.”

Writing in Financial Management, Jimmy Jia argues that current carbon accounting methods fail to account properly for the timing of emissions and removals, making it harder to assess long-term climate impacts and investment decisions. Alongside co-author Jeremy Osborn, Jia proposes a new method, called the "General-Purpose Life Cycle Assessment (GP-LCA)," incorporating concepts of double-entry bookkeeping as a means to track the passage of time for carbon emissions accounting.

Writing in Fortune, Stephanie Walton calls for the costs of transitioning to a more sustainable and resilient world to be reckoned with. 

A new working paper by Matteo Gasparin and Fulvia Marotta finds that banks give higher credit risk ratings to lower emission companies. "The results suggest that current regulatory frameworks may struggle to capture risks associated with the [energy] transition before they become visible in realised defaults," said Marotta.