Climate change is a reality we cannot ignore. Media report season after season record-breaking heat, drought, bushfires, etc. The impact on businesses is real, and investors are increasingly pushing for more detailed disclosure on climate change-related issues.
According to the Wall Street Journal, companies are expected to face 75 climate-related shareholder proposals this AGM season. Generally, the questions investors are asking can be divided into two categories:
- What corporate social responsibility initiatives are you adopting to mitigate your company’s contribution to climate change?
- Is your company particularly exposed to any risks that climate change is expected to exacerbate?