Big US Banks Tell Fed It’s Challenging to Estimate Climate Risk
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Wall Street banks told the Federal Reserve that there are significant data gaps that make it tough to properly manage climate-related risks to their businesses.
The takeaway follows a months-long pilot exercise to measure how hurricanes, drought or other extreme weather events can affect lenders’ portfolios. Six banks participated: Goldman Sachs Group Inc., JPMorgan Chase & Co., Wells Fargo & Co., Bank of America Corp., Citigroup Inc. and Morgan Stanley.