(Mis)Calculated Risk and Climate Change – Are Rating Agencies Repeating Credit Crisis Mistakes?

The report argues that credit rating agencies may be artificially inflating the value of companies contributing to global warming by failing to account for climate risks, potentially repeating the systemic underestimation of risk seen during the credit crisis.

• Credit rating agencies may be repeating the errors of the credit crisis by underestimating risk, which could negatively impact the global financial system because they do not adequately account for climate risks.
• By adopting a 'business as usual' approach to fossil fuel investment, rating agencies are assuming a trajectory that would lead to global warming of 4° Celsius or more, despite nearly 200 nations agreeing to limit warming to below 2°C, and some calling for below 1.5°C.
• The failure to incorporate climate risk into assessments may lead to the artificial inflation of financial values and credit ratings for companies that contribute to global warming, creating risks for the climate and investors, and potentially exposing the rating agencies to legal liability.

APA

Center for International Environmental Law (2015). (Mis)Calculated Risk and Climate Change – Are Rating Agencies Repeating Credit Crisis Mistakes? https://www.ciel.org/reports/miscalculated-risk-and-climate-change-are-rating-agencies-repeating-credit-crisis-mistakes-june-2015/

Chicago

Center for International Environmental Law. (Mis)Calculated Risk and Climate Change – Are Rating Agencies Repeating Credit Crisis Mistakes? 2015. https://www.ciel.org/reports/miscalculated-risk-and-climate-change-are-rating-agencies-repeating-credit-crisis-mistakes-june-2015/.

Wikipedia

{{cite report |author=Center for International Environmental Law |title=(Mis)Calculated Risk and Climate Change – Are Rating Agencies Repeating Credit Crisis Mistakes? |date=24 June 2015 |url=https://www.ciel.org/reports/miscalculated-risk-and-climate-change-are-rating-agencies-repeating-credit-crisis-mistakes-june-2015/ |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{centerforinternationalenvironmentallaw2015miscalculated, author = {{Center for International Environmental Law}}, title = {{(Mis)Calculated Risk and Climate Change – Are Rating Agencies Repeating Credit Crisis Mistakes?}}, institution = {Center for International Environmental Law}, year = {2015}, month = jun, url = {https://www.ciel.org/reports/miscalculated-risk-and-climate-change-are-rating-agencies-repeating-credit-crisis-mistakes-june-2015/}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }