Climate risk disclosures: Why more information isn’t always better for investors by Professor Simone Varotto

Professor Simone Varotto analysed the financial reports of UK-listed companies from 1996-2018 and found a surprising pattern in how markets respond to different types of climate disclosures after natural disasters strike.

News in Detail

The article reflects a study that revealed a counterintuitive truth about corporate climate disclosures: more disclosure doesn’t necessarily translate to better market performance during climate-related emergencies.

Companies that simply disclosed their exposure to climate risks saw smaller stock price declines following disasters compared to their non-disclosing peers. Yet, firms that went further by detailing their climate adaptation strategies experienced stock price drops just as severe as companies that made no disclosures at all.

Next Steps

News in Detail

Professor Simone Varotto

Professor of Finance

Published	26 February 2025
Topics: Research news

Finance graduate runner up for British Council Entrepreneurial Award

17 February 2017

Akua Ofori-Ampofo, MSc International Shipping & Finance graduate from the ICMA Centre at Henley Business School, was shortlisted for an Entrepreneurial Award at the British Council’s Alumni Awards 2017 in Ghana.

Academy of Economic Studies Scholarship

16 May 2013

The ICMA Centre is pleased to announce up to five scholarships of a maximum of £15,000 for our full-time Masters programmes are now available to students studying at the Academy of Economic Studies in Bucharest.

Industry Insights: Janine Lewis, InvestSure - Startups, Fintech and Property Investment

12 March 2019

This week’s Industry Insights event was presented by Janine Lewis and organised by the ICMA Centre in partnership with the University of Reading Finance Society. Emmanuel De Labauve DArifat, President of the University of Reading Investment Society, provides the review below:

Industry Insights reviews