TCFD sounds dreary, but it's important. Here's why

When you google the acronym TCFD it’s amazing how may fire departments come up, including the wonderfully-named Turkey Creek Fire Department.

I couldn’t help but think of the irony, given the impact climate change is having on their work; if they were a listed entity their value would only increase, given the expected growth they will have in the future.

TCFD is the task force established by the Financial Stability Board (FSB), which is an international body that monitors and makes recommendations about the global financial system.

The goal of the TCFD is to develop recommendations for more effective climate-related disclosures that could promote more informed investment, credit, and insurance underwriting decisions. This, in turn, will enable stakeholders to understand better the concentrations of carbon-related assets in the financial sector and the financial system’s exposures to climate-related risks.