FTSE Russell, Planetrics to Develop Climate-Scenario Indices

Under the proposed collaboration, Planetrics will make its proprietary physical and transition climate risk analytics, models and scenario tools available to FTSE Russell, to support the development of climate-scenario based indices across asset classes.

The organisations intend to work together on the development of analytical frameworks and data inputs underpinning any such indices, with FTSE Russell responsible for their governance and commercial distribution, supported by Planetrics’ deep research expertise, market knowledge and technical depth.

FTSE Russell and Planetrics anticipate new indices to be launched later this year.

Stephanie Maier, Head of Sustainable, FTSE Russell, comments:

“As climate considerations continue to drive the investment landscape, we are delighted to be collaborating with Planetrics as we continue to innovate to the needs of the market. The intended partnership reflects our ongoing commitment to developing transparent, innovative indices that draw on robust research and analytical frameworks to help our clients better invest for and through the low carbon transition.”

Thomas Bremner Bligaard, Executive Director, Planetrics, part of SLR, said:

“This collaboration with FTSE Russell reflects where the market needs to go, from acknowledging climate risk to actually pricing it. Our modelling captures a range of plausible futures, including physical shocks and uneven transitions across regions and sectors, then traces how costs, supply chains and competitive positions evolve at a company level. That granularity translates into portfolio signals precise enough to support better allocation decisions and stronger risk management.”

Source: LSEG