Majority of world’s top CEOs and CFOs say their companies are underprepared for climate-related risks
- Published: Thursday, 25 June 2020 09:50
Although the pandemic dominates the world’s attention, climate risk is simmering in the background, with more than 3 in 4 (77 percent) CEOs and CFOs at the largest companies in the world admitting their firms are not fully prepared for the adverse financial impact of a changing climate. Moreover, 8 out of 10 (82 percent) believe their companies have somewhat to no control over such an impact on their business.
The findings stem from a global survey of several hundred CEOs and CFOs at companies with US$1 billion or more in revenue across a wide variety of industries in, Europe, North America, and Asia Pacific. The research was commissioned by FM Global and conducted by ENGINE Insights, a market research and analytics firm.
Three-quarters of respondents (76 percent) said their organizations are somewhat to significantly exposed to climate risk. Floods, droughts, and wildland fires topped the list as the three exposures that ‘concern their companies the most’ and ‘could most negatively affect their financials’.
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