"Credit Rating Agencies Miscalculating Climate Risks – Report Warns that Business as Usual Could Repeat Global Credit Crisis", 24 Jun 2015

A new report launched today, (Mis)Calculated Risk and Climate Change – Are Rating Agencies Repeating Credit Crisis Mistakes?, demonstrates that by not adequately accounting for climate risks, rating agencies could be repeating the mistakes of the credit crisis where risk was underestimated to the detriment of the global financial system...In assuming a business as usual scenario, rating agencies may be artificially inflating the credit ratings and financial value of companies that contribute to global warming. This poses significant risks for investors, and the climate, and could expose rating agencies themselves to legal liability...“Overstated credit ratings threaten not only investors and markets, but ultimately the global economy. They also contribute to overinvestment in activities that cause climate change, threatening our ecosystems and the people who depend on them.”...