Library | Sustainable Finance Practices

Impact measurement and verification

Resources for developing metrics and frameworks to measure, monitor, implement and verify the environmental, social, and financial impacts of investments.

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Developing a public private partnership approach to increase financial inclusion for modern slavery survivors in Mexico

Finance Against Slavery and Trafficking (FAST)
This report provides insight into the development of a public-private partnership approach to increase financial access for modern slavery survivors in Mexico. The pilot intervention aims to improve financial inclusion of vulnerable populations, contributing to reducing and preventing trafficking and slavery.
Research
14 March 2024

Scaling impact: Exploring 'success' in relation to impact investments

University of Technology Sydney
This study aims to explore the definition of success in social impact investments and how to scale them up. Challenges such as negotiation, execution, and outcomes measurement were identified. Measures for supporting scaling include data sharing, funding, and intellectual property (IP) valuation.
Research
17 March 2020

The impact potential assessment framework (IPAF) for financial products

Sustainable Finance Observatory
The Impact Potential Assessment Framework for financial products (IPAF) is a multi-purpose tool developed to assess products based only on their actions to generate real-life impact. Using public information, it evaluates the product's maximum impact potential through four widely documented mechanisms.
Research
13 March 2023

Environmental risk analysis by financial institutions: A review of global practice

Cambridge Institute for Sustainability Leadership
This report examines how financial institutions tackle environmental risk, with an emphasis on credit and market risks. The study highlights examples of successful risk mitigation and draws attention to gaps in practice, particularly around modelling approaches and short-term decision-making.
Research
1 September 2016

Navigating the reporting landscape

Accounting for Sustainability (A4S)
This guide provides an introduction to sustainability-related reporting for finance professionals. It covers mandatory reporting requirements and reporting frameworks, as well as key reporting components for sustainability. The guide also explores recent developments in reporting standards and the accounting profession, highlighting the future of corporate reporting.
Research
19 July 2021

An enhanced assessment of risks impacting the energy system

Klynveld Peat Marwick Goerdeler International (KPMG International)
This report assesses the risks impacting the energy system. It explores the challenges, uncertainties, and opportunities organizations face in the near-term and long-term. The Dynamic Risk Assessment methodology is designed to incorporate future trends and their potential downstream exposures into risk management processes.
Research
5 July 2021

Climate endgame: Exploring catastrophic climate change scenarios

This report explores the potential for worldwide societal collapse and human extinction due to anthropogenic climate change. It argues that this topic has not been given enough consideration despite existing evidence of catastrophic outcomes. The proposed research agenda seeks to understand the likelihood and mechanisms of such events and their implications for policy.
Research
29 July 2022

Acute climate risks in the financial system: Examining the utility of climate model projections

This research examines the effectiveness of global mean temperature projections as a tool for identifying acute climate risks to the financial sector. The study highlights the limitations of current 'top-down' approaches and recommends the use of more granular 'bottom-up' methods to more accurately estimate regional-level financial risks.
Research
18 August 2022

Integrating child rights across the ASX: A UNICEF investor tool benchmarking report series

Ethical Partners
This benchmark report series, "Integrating Child Rights across the ASX," by UNICEF and Ethical Partners Funds Management, assesses and guides ASX companies on integrating children's rights into ESG practices, offering a framework and practical steps for improvement.
Research
2 September 2022

Tobacco free portfolios: The toolkit 12th edition

Tobacco Free Portfolios
This toolkit offers a framework for finance professionals to invest in tobacco-free portfolios. The toolkit covers various areas including the Tobacco-Free Finance Pledge, prospective investment risks and case studies, with a call to action for the industry to follow.
Research
28 January 2020

Right direction, wrong equipment: Why transition risks do not fit into regulatory stress tests

Sustainable Finance Observatory
The authors of this report explore the challenges of integrating climate-related risks into regulatory stress tests. They demonstrate that supervisory risk assessment frameworks struggle to capture long-term systemic risks, and offer recommendations for developing a 'long-term risk;' supervision 'infrastructure.'
Research
21 September 2017

The TNFD nature-related risk and opportunity management and disclosure framework: Beta v0.1 release

Taskforce on Nature-related Financial Disclosures (TNFD)
The Taskforce on Nature-related Financial Disclosures (TNFD) has released a beta version of its Nature-related Risk and Opportunity Management and Disclosure Framework. The framework aims to deliver a risk management and disclosure framework for organisations to report and act on evolving nature-related risks and opportunities.
Research
17 March 2022

Investor primer to transition risk analysis

Kepler Cheuvreux
This report focuses on scenario analysis as a tool for assessing climate and energy transition risks that traditional financial analysis may not capture. It gives insight into the conceptual and methodological underpinnings of scenario analysis, drawing on models from The CO-Firm and KECH climate research.
Research
31 January 2018

Authentic sustainability assessment: A user manual for the sustainable development performance indicators

United Nations Research Institute for Social Development (UNRISD)
This report provides guidelines for organisations to measure their sustainability performance and report effectively. The document presents indicators for three areas: economy, society, and environment; these are divided into tiers. It also developed a two-tier framework that uses 61 indicators to assess sustainability performance and progress at an organisational level.
Research
12 November 2022

Enabling FPIC through voluntary standards: An ISEAL innovations fund project

Roundtable on Sustainable Biomaterials (RSB)
This report explores ways to enable Free, Prior, and Informed Consent through voluntary standards. It reviews existing literature and provides a framework for companies and assurance providers to verify and monitor successful implementation of Free, Prior, and Informed Consent from the perspective of affected communities.
Research
4 October 2018

Biodiversity loss and land degradation: An overview of the financial materiality

Cambridge Institute for Sustainability Leadership
This report provides key insights into the materiality of biodiversity loss and land degradation with a focus on financial risks while reviewing the literature available. The report highlights biodiversity's prominent role in the economy, the major threats to biodiversity, the tools available to measure biodiversity's impact and outlines a typology for nature-related financial risks.
Research
18 August 2020
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