nexustandards.com/finance · 3 taught
Finance, Insurance and the Economy
NRS-C12 Risk disclosure and reporting; NRS-F2 Banking climate, nature and transition risk
3standards1discipline
Illustrative: an ensemble of trajectories, its quantile fan and the outcome as it is observed
Risk Academy, led by the Nexus Consortium · Finance and Economics · Department of Financial Markets and Investment
Physical and transition risk, scenario analysis, disclosure, nature dependencies and insurability
Climate and nature financial risk
Climate and nature financial risk covers how physical and transition climate risk and nature-related risk reach financial institutions and portfolios, and how they are assessed and disclosed.
- Courses
- In preparation
- Levels
- L2 Intermediate
- Labs
- Exposure lab, Trigger lab
- Physical risk to portfolios
- Transition risk
- Climate scenario analysis
- Climate-related disclosure
- Nature-related dependencies
- Adaptation and insurability
- Transition plans
- Data and model gaps
Courses in development extend the scope to further subjects: Nature-related risk assessment and disclosure; Nature as systemic financial risk.
02Maps
Build a twin of any place
Search any place or open the world; the layers and generators follow climate and nature financial risk on the planet map, the globe and in 3D.
- Terrain 0 to 66 m
- 30 power plants, 11,875 MW
- 7 refineries and chemical works
- 2 port land
- 29 named works
- 154 named industrial sites
- Surface water extent, OPERA DSWx (HLS): read live when the 3D twin opens
- Built-up and settlement extent, HBASE 2010: read live when the 3D twin opens
Drag to move, right drag or Shift with a drag to turn and tilt, Ctrl with the wheel to zoom. Keyboard: arrows move, Shift with arrows turn and tilt, + and – zoom, 0 resets, V steps through the views, Escape clears.
Flat plan of the same data: relief as contours from the inline grid, the plants by capacity, the industrial points by kind and the numbers below. The 3D twin opens on devices that can draw it, once its data and code have been checked.
The boundaries, names and designations shown do not imply any judgement on the legal status of any territory, or any endorsement or acceptance of such boundaries. Countries: Natural Earth (public domain).
03Live map
Habitat condition in Peru
Vegetation, land cover, fires and ocean productivity and warmth from NASA satellites, over Peru.
The interactive map needs JavaScript; the layer list and sources are below.
Layers 2
Habitat condition
Keyboard, with the map focused
Hold Ctrl or ⌘ and scroll to zoom
Latest available
NASA GIBS / EOSDIS · ASTER GDEM (METI, NASA) · Blue Marble (NASA) · © OpenStreetMap contributors (ODbL) · Natural Earth
Loading the latest NASA imagery.
Drag to move. Ctrl or ⌘ and scroll, pinch or the buttons to zoom; hover for the values under the pointer; reset returns to the region.
Habitat condition, framed on Peru.Satellite and model products as NASA publishes them, each with its own date. They are indicators, not assessments of any place.
Data: NASA GIBS · ASTER GDEM · Blue Marble · © OpenStreetMap contributors · Natural Earth · NASA EONETSources and licences
- We acknowledge the use of imagery provided by services from NASA's Global Imagery Browse Services (GIBS), part of NASA's Earth Science Data and Information System (ESDIS). Colours redrawn from the published colour map; values averaged into H3 cells where shown (modified). NASA open data
- MODIS land products (vegetation indices, gross primary production, land cover), NASA LP DAAC and LANCE; imagery via NASA GIBS. Colours redrawn from the published colour map; values averaged into H3 cells where shown (modified). NASA open data
- NASA Fire Information for Resource Management System (FIRMS), VIIRS 375 m active fire product, NASA LANCE; vector tiles via NASA GIBS. Colours redrawn from the published colour map; values averaged into H3 cells where shown (modified). NASA open data
- GHRSST Level 4 MUR analyses, NASA Jet Propulsion Laboratory; distributed by the NASA Physical Oceanography DAAC (PO.DAAC); imagery via NASA GIBS. Colours redrawn from the published colour map; values averaged into H3 cells where shown (modified). NASA open data
- MODIS Aqua ocean colour, NASA Ocean Biology Processing Group; distributed by the NASA Ocean Biology DAAC (OB.DAAC); imagery via NASA GIBS. Colours redrawn from the published colour map; values averaged into H3 cells where shown (modified). NASA open data
- VIIRS near-real-time products (flood, land surface temperature, snow cover, corrected reflectance), NASA LANCE; imagery via NASA GIBS. Colours redrawn from the published colour map; values averaged into H3 cells where shown (modified). NASA open data
- ASTER GDEM is a product of METI and NASA (ASTER Global Digital Elevation Model V003, NASA LP DAAC); imagery via NASA GIBS. Colours redrawn from the published colour map; values averaged into H3 cells where shown (modified). Cite as: NASA/METI/AIST/Japan Spacesystems and U.S./Japan ASTER Science Team (2019). ASTER Global Digital Elevation Model V003. doi:10.5067/ASTER/ASTGTM.003. NASA open data
- Made with Natural Earth. Free vector and raster map data @ naturalearthdata.com. Public domain
- © OpenStreetMap contributors (ODbL), via NASA GIBS (coastlines, boundaries, roads and place names). Colours redrawn from the published colour map; values averaged into H3 cells where shown (modified). ODbL
- Blue Marble, NASA Earth Observatory; imagery via NASA GIBS. Colours redrawn from the published colour map; values averaged into H3 cells where shown (modified). NASA open data
- Context on the globe and flat map: coastlines, boundaries, roads and place names from NASA GIBS reference layers (OpenStreetMap data, ODbL, © OpenStreetMap contributors); Blue Marble imagery as an optional base; 3D terrain and the elevation read-out from the ASTER GDEM elevation colour index (5 m to 200 m classes, exaggerated for legibility). Boundaries are drawn as published and imply no position on any territory.
- Globe: MapLibre GL JS 6.9.1, BSD-3-Clause, © MapLibre contributors.
- Live events: NASA Earth Observatory Natural Event Tracker (EONET); events are indicative and keep their original source links.
- NASA GIBS: We acknowledge the use of imagery provided by services from NASA's Global Imagery Browse Services (GIBS), part of NASA's Earth Science Data and Information System (ESDIS).
- Optional layers (5 sources in the layer list: live, forecast, observed and context) print their provider credit on the map and here when switched on; forecasts are model output and derived indices are estimates.
Layers and dates
- Enhanced vegetation index, rolling 8 days: MODIS Terra EVI, NASA LANCE · 13 Oct 2026
- Active fires and thermal anomalies: VIIRS NOAA-20 375 m (FIRMS), NASA LANCE FIRMS · 13 Oct 2026
- Land cover type (IGBP), yearly: MODIS Terra and Aqua land cover (MCD12Q1), NASA LP DAAC · 2024
- Gross primary production, 8-day total: MODIS Aqua GPP (MYD17), NASA LP DAAC · 30 Sep 2026
- Sea surface temperature anomaly: GHRSST MUR25, NASA JPL PO.DAAC · 12 Oct 2026
- Ocean chlorophyll-a concentration: MODIS Aqua ocean colour, NASA OB.DAAC · 12 Oct 2026
- True colour: VIIRS NOAA-20 corrected reflectance, NASA LANCE · 13 Oct 2026
04The subject
The subject, methods and measures and debates and bodies
The field and its scope
For risk, sustainability and disclosure staff in financial institutions, and for supervisors and analysts who need to assess how climate and nature risk reach portfolios and balance sheets.
Quantities and units
Methods and their limits
Each method is listed with what it assumes and where it fails.
What the field debates
Bodies that set practice, and the data they publish
Bodies and standards are named so learners can find and apply their published work; the Academy teaches their use and links to the publisher, and no affiliation is implied.
05The method
From a carbon price to a probability of default: transition risk in a loan
A carbon price raises a high-emitting borrower's costs, lowers the value of its assets and shortens its distance to default; the lender reads the change as a climate-adjusted probability of default and acts on pricing, limits and engagement.
Sources: Battiston, Mandel, Monasterolo, Schutze and Visentin, A climate stress-test of the financial system (2017); Basel Committee on Banking Supervision, Climate-related risk drivers and their transmission channels (2021); Merton, On the pricing of corporate debt: the risk structure of interest rates (1974); Bolton, Despres, Pereira da Silva, Samama and Svartzman, The green swan (2020).
06Signature
How climate and nature financial risk connects the sectors
Select corners to build a signature, then hover a line to read what each sector gives and receives.
Select corners · hover lines6 / 15 relations
Signature
Biodiversity and its partners
Biodiversity gives pollination and soils to food (0.6), watershed regulation to water (0.5) and zoonotic spillover and medicines to health (0.4).
W · E · I · F · H · B
- Sectors
- 4 of 6
- Relations
- 6 of 15
- Coupling
- 0.46 share of total
Strongest relations in play
- Food → Biodiversity · land conversion0.6
- Water → Food · irrigation0.8
- Water → Biodiversity · environmental flows0.6
- Food → Health · nutrition0.7
07At a glance
At a glance, with 5 related topics
Climate and nature financial risk at a glance
risksacademy.comfinance-economicsdiscipline
- Open, 0
- In preparation, 4
- Also taught here, 1
- Subtopics, 8
Nexus Standards it teaches and relies on
The Nexus Standards the discipline teaches toward, grouped by master standard, with the disciplines that teach each.
nexustandards.com/climate · 1 taught
Climate and Earth Systems
NRS-M17 Climate, nature and biodiversity
1standard1discipline
Nexus Standards at the AcademyThe Academy proposes how each discipline teaches toward the Nexus Standards; the mapping is open for public review.
Research and tools
Research and preprints as they are published, by discipline, with the faculty's other tools.
The hub lists the newest research and preprints for Climate and nature financial risk, each with its source and date. Open the research hub
Frameworks and standards it works with
From the Academy's risk taxonomy: the discipline's own entries and those of its primary courses, with how many courses teach each.
Frameworks and standards
- NGFS climate scenarios1 course
- TCFD recommendations and ISSB standards1 course
- TNFD recommendations1 course
Methods and practice
- Scenario analysis and stress testing1 course
What is changing now
Recent developments in climate and nature financial risk, each with its source; sources checked on 16 October 2026.
Courses in this discipline
Courses for this discipline are in development; until they open, study it through the connected courses and open lessons below.
Courses with this primary disciplineIn preparation
- RAT-227Climate Scenario Analysis and DisclosureIn preparationTechnical, L2 Intermediate, 10 hours (estimate)
- RAT-228ESG Risk IntegrationIn preparationTechnical, L2 Intermediate, 8 hours (estimate)
Courses from connected disciplines that also teach this field
Each course has its primary discipline elsewhere and teaches this field as part of its scope.
From connected disciplines1 course open
08Labs
How the subject is practised in labs
| Lab | What you do in it | Courses using it |
|---|---|---|
| Exposure lab | Overlay people and assets with hazard footprints | 2 |
| Trigger lab | Set forecast thresholds, pre-agreed actions and messages | 1 |
09Console
How Climate and nature financial risk is taught, as a process you can run
Press Play to run this process from this page's own data.
10Practice
Practice, learning and connections
How technology helps and what risk it brings
Achievements in this discipline
Pathways that teach it
Where the subject is practised
The three Foundry systems where it is practised
- FoundryNXS-GRX systemPhysical and transition risk dataData room
- NXS-DSS systemClimate scenarios for financeScenarios room
- NXS-EOP systemNature-related change observed from orbitChange room
Foundry system pages describe what each system and its rooms are designed to do; the courses teach the methods these systems apply.
Disciplines it depends on
- Faculty of Earth and Environmental SciencesClimate science, variability and changeThe discipline covers the physical climate system: observed baselines.
- Faculty of Infrastructure, Energy and IndustryClimate and energy technologiesThe discipline covers the technologies of decarbonisation and climate response and the risks they carry.
Across the ecosystem
11Take part
Take part in Finance and Economics
Start from who you are.
12References
Core references and where to begin
Start with Carney, then Basel Committee on Banking Supervision, then Battiston.
13Questions
Questions, answers and key terms
Is study here free?
Yes. Every course and learning material of Risk Academy, led by the Nexus Consortium, is free to study, self-paced or with a cohort. Ordinary participation has no fee; paid work, internships and fellowships are separate arrangements.
What does completing a course give me?
A completion record: the course, its version, the date and what was assessed, private by default and shared by you. It stacks into discipline, department and programme achievements. A record states what was studied and assessed and does not certify competence; it is not a licence, a professional title or an employment status.
Where do the data and the places come from?
Every faculty teaches on a twin of a real place built from open data; each layer carries its provider, licence and date, and every result on the Academy states its source. Maps and figures are indicators for teaching, never an assessment of a place.
How do I take part beyond the courses in climate and nature financial risk?
Form a competence cell of three to seven people, study a shared pathway, take a supervised assignment in the National Working Groups, or bring a cohort from your institution. For organisations.
Key terms
Term
Transition risk
Financial risk from policy, technology and market changes on the path to a low-carbon economy.
Term
Climate scenario
A coherent description of a possible climate and economic future used to test exposures, such as the NGFS scenarios.
Term
Double materiality
Considering both how sustainability issues affect a firm and how the firm affects people and the environment.
ReportsContribute
Contribute evidence from this page.
Reports is the Consortium's quarterly publication. What you know about this subject can become evidence, a case or a correction in the next edition, credited to you and published under CC BY 4.0 where it is your own work.
Risk Academy
Related
Around Climate and nature financial risk
Climate and nature financial risk
Start with an open course
The catalogue lists each course with its outcomes, labs, hours and level.