ICCR Publishes 'Climate Risk Profiles' for 150 Companies

ICCR Publishes 'Climate Risk Profiles' for 150 Companies

A coalition of hundreds of investors has compiled "climate risk profiles" for more than 150 companies based on their carbon footprints and how they compare to others in their sector.

The Interfaith Center on Corporate Responsibility (ICCR) used environmental data from research firm Trucost Plc to create the profiles to determine risk exposure to climate change. Trucost, which maintains what it calls the world's largest record of greenhouse gas emissions, estimates emissions for companies that don't disclose the data.

"ICCR'S goals in publishing the climate risk profiles are to: increase awareness among institutional and individual investors of climate risk in their portfolios and identify companies that are 'best in sector' and the available options for investors to reduce their carbon exposure without changing sector diversification strategies," Leslie Lowe, director of ICCR's energy and the environment program, said in a statement Thursday. "We also hope to provide an empirical basis for assessing corporate efforts to reduce climate risk and to end 'greenwashing' about global warming. Investors need greater transparency from corporations about their GHG footprint and what they are doing to reduce climate risk and to enhance investor value by becoming cleaner and greener."

Based on the group's profiles, Goldman Sachs Group Inc. scored at the bottom of financial services sector, with nine companies evaluated. Goldman Sachs received a score of 3.41, which is the company's greenhouse gas emissions based on its deviation from the average performance of companies in its sector. At the top of the financial services sector was Ameriprise Financial Inc., with a score of -0.33.

The lower the score the better, according to ICCR. Each score is accompanied by a color gradient — green means the company performed better than the average company in its sector; brown means the company performed one standard deviation below the average company in its sector.

The ICCR is comprised of nearly 300 faith-based institutional investors with holdings of more than $100 billion.