If your work deals with finance, you must understand how the real-world impacts of climate change are reshaping stakeholders’ expectations. Businesses cannot sit back and be passive spectators of the government’s actions. Rather, they need to participate in efforts to combat climate change and contribute in different ways. Many long-term investors are increasingly concerned that failure to act could endanger the long-term returns on their assets. BlackRock CEO Larry Fink has already issued several warnings in letters to shareholders.
Climate Finance will help you act in a positive way. It provides a comprehensive overview of climate-related financial issues. Finance is about linking demand for capital to suppliers of capital. Defined in this broad sense, finance (including financial players such as shareholders, debtholders, capital markets, regulators/central banks, and boards) has an important role to play in tackling the challenges ahead. The book covers every aspect of climate-related finance and disentangles the complex layers of decision-making around it.
Climate Finance:
- Provides an in-depth understanding of the various aspects of climate finance, from the risks and opportunities, to the demand and supply of capital, to the impact of global policies.
- Presents frameworks for readers to help them better understand the field, and how finance and climate are linked.
- Covers all the financing activities of companies, both through the debt side and the equity side, while addressing the financial market aspects of these activities (including green finance instruments, sustainability-linked products, ESG investment, climate financing, institutional investors, ESG ratings, activist investors, etc.).
- Allows reader to assess their contributions, risks, opportunities, and personal role in the coming transition
- Helps investors and companies make more informed capital allocation decisions by appropriately incorporating all risks
- Provides empirical evidence for the links between financial actions and climate related risks and opportunities
- Highlights relevant frameworks and evidence from markets, academic research, and practical case studies featuring leading companies and investors.
In addition to being a useful guide for finance leaders and practitioners, this book can also be used in business education (MBA, master’s, and executive education programs). It is based on many years of teaching and consulting with world-class corporations from all continents of the world.
A big funding gap exists between what we have right now (the Paris Agreement signatures) and what we need in the future (the actual infrastructure, supply chains, and corporate frameworks to deliver on those agreements). It is clear that bridging this gap should now be the priority for executives, board members, and investors. Climate Finance will help you be part of the solution to the greatest challenge facing humankind today. The book will help you make the right choices and take meaningful action to protect the long-term interests of your organization against the financial threats posed by climate change.
Nuno Fernandes is Professor of Finance at IESE Business School. He is also the Chairman of the Board of Auditors at the Portuguese Central Bank (Banco de Portugal), Non-Executive (Member of Audit Committee) at the European Investment Bank, and a Research Associate of the European Corporate Governance Institute. His areas of interest are climate finance, mergers and acquisitions, corporate governance, banking, financial strategies, and corporate finance.
Professor Fernandes regularly advises companies and financial institutions in Asia, Europe, Latin America, and the Middle East. A regular contributor to international media - including The Financial Times, Forbes, and The Wall Street Journal - Professor Fernandes is the author of several books, including Finance for Executives: A Practical Guide for Managers (second edition), The Value Killers: How Mergers and Acquisitions Cost Companies Billions—And How to Prevent It, and Climate Finance.
In the past, Professor Fernandes was the Dean of Católica-Lisbon, and Professor of Finance at IMD in Switzerland. He has received numerous teaching and research awards and has been published in leading international academic journals, including the Journal of Financial Economics, Review of Financial Studies, Journal of International Business Studies, Journal of Financial Intermediation, Journal of Applied Corporate Finance, The Journal of Portfolio Management, and Harvard Business Review.
In 2022, he won the "Outstanding Teacher" award, in The Case Centre's Worldwide Competition, also known as "business education's Oscars." He earned his PhD in Management (Finance) from IESE Business School and a degree in Economics from Universidade Católica Portuguesa.
