Lexpert, "What biodiversity means for Canadian pension funds in 2023 and beyond"
Lexpert publishes an article by Bruno Caron on how environmental risks can result in financial risks for businesses and pension funds.
In the 2023 edition of the World Economic Forum Global Risks Report, natural disasters and extreme weather events were ranked second and fourth on a two-year horizon. On a ten-year horizon, the same report ranks the following environmental risks: (i) failure to mitigate climate change; (ii) failure of climate-change adaptation; (iii) natural disasters and extreme weather events; and (iv) biodiversity loss and ecosystem collapse in the first four spots of risks likely to have severe impacts on economies and societies. Most if not all of these risks will translate into material financial risks for businesses and pension funds which invest in such businesses.
This article also appears in the April 2023 issue of the Canadian Employment Benefits and Pension Guide (Lexis Nexis).
