Sustainable finance refers to any kind of financial activity that takes sustainability into account, across asset classes (including equity, debt—both bonds and loans—and other asset classes such as commodities or derivatives) and across different products and services, ranging from corporate loans to mutual funds with shares of sustainable firms, offered to retail investors.

CPI is an analysis and advisory organization with deep expertise in finance and policy. Our mission is to help governments, businesses, and financial institutions drive economic growth while addressing climate change.

Draws on expertise from across the investor landscape to set out clearly joint expectations in four interlocking areas – corporate engagement, investment, policy advocacy, and investor disclosure.

Government sets a cap on the maximum level of emissions and creates permits, or allowances, for each unit of emissions allowed under the cap

Carbon taxes, which impose a price per ton of CO2 emitted, have typically been favored by economists.

The Intergovernmental Panel on Climate Change (IPCC) is the United Nations body for assessing the science related to climate change.

There are physical, transition, liability, and financial risks.

Investing for the long term requires taking a long-term view of what will impact returns, including demographics, government policy, technological advancements, and the transition to a low carbon economy.