ESG RISK MANAGEMENT

This course investigates modern techniques of risk management to tackle ESG Risks, focusing on identification, data collection, quantification and monitoring of ESG risks within the european regulation remit.

Knowledge of EU sustainability regulatory framework, ESG risk management principles, ESG risk quantification, ESG risk reporting.

Mathematics, Statistics, Econometrics.

1. Regulation part a): EU Taxonomy (EU Regulation 2020/852)
- Scope and Definitions
- Criteria for environmentally sustainable economic activities
- Transparency of environmentally sustainable investments
- Transparency of undertakings in non-financial statements
2. Regulation part b): Corporate Sustainability Reporting Directive (CSRD - UE Directive 2022/2464)
- Double materiality as the basis for sustainability disclosures
- Reporting areas
- General requirements
- Topical standards
3. ESG Risk Assessment Process: general theory
- Forward Looking Approach
- Double Materiality Principle
- Sources of information
- Limits of traditional practices
4. Physical Risk Assessment
5. Transition Risk Assessment

- Giacomelli, A. (2021). EU Sustainability Taxonomy for non-financial undertakings: summary reporting criteria and extension to SMEs. Working Papers Series (No. 29/WP/2021). Ca' Foscari University of Venice, Deptartment of Economics. ISSN 1827-3580.
- Giacomelli, A. (2022). Mark to Target Information: idiosyncratic forward-looking information and its use to tackle sustainability reporting. Working Papers Series (No. 08/WP/2022). Ca' Foscari University of Venice, Department of Economics. ISSN 1827-3580.

Written examination consisting in three questions about three different topics analysed in the course

Frontal lessons using slides and scientific papers

English

written