This Bloomberg article discusses how the European Central Bank says Mispricing Climate Change May Hurt Financial Stability.
Climate change could hit bank balance sheets with a knock-on effect on financial stability, the European Central Bank warned on Wednesday.
In a special feature for its semi-annual Financial Stability Review on Wednesday, the ECB said problems will materialize if markets aren’t correctly pricing the risks stemming from extreme weather events and the transition to a low-carbon emission economy.