Smart Innovators: Transition Risk Data And Analytics

Executive Summary

Transition risk has traditionally taken a backseat to physical climate risk in financial assessments. However, as the policy environment evolves and expectations for climate accountability grow, understanding and managing transition risk is becoming increasingly critical. Unlike physical risks, transition risks are more challenging to quantify, given the uncertainty around future regulatory, market, reputational and technological developments. This report provides a benchmark analysis of 13 vendors, evaluated across five themes and 13 key capability categories that define best-in-class transition risk assessments for financial institutions. Vendors can use this report to understand their competitive positioning and identify potential gaps in their solutions. Buyers of transition risk data solutions can leverage this analysis to guide software selection and purchasing decisions, ensuring alignment with strategic, regulatory and portfolio resilience objectives.