Why do we need SEC Climate Disclosure?

The need for SEC Climate Disclosure stems from the growing recognition of climate change as a systemic risk with far-reaching implications for financial markets and the economy. As the physical and transition risks associated with climate change become increasingly material to businesses, investors, and society, there is a pressing need for transparent and consistent disclosure of climate-related information.

SEC Climate Disclosure aims to fill this gap by providing investors with the information they need to make informed decisions, allocate capital efficiently, and promote the transition to a low-carbon economy.