How geographic analytics empowers risk management, portfolio analysis and strategic decisions
Executive summary
Climate change poses increased risks to real estate, infrastructure and communities. For the financial sector, this means that climate-related risks increasingly need to be analyzed and integrated into credit processes, investments and portfolio analysis.
Real estate is often used as collateral for loans and is a key component of many financial portfolios. It is therefore important to understand how climate-related risks - such as floods, erosion and landslides - can affect the value and risk profile of real estate.
Geodata makes it possible to analyze these risks in a geographical context. By combining property information, climate data and geographical analysis, banks and insurers can identify risks at the property level and analyze exposure across entire portfolios.
In this white paper we describe:
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how climate risks affect the financial sector
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how geodata is used in climate risk analysis
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how banks and insurers can analyze portfolio risks
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how geographical analysis can strengthen strategic decisions.