The Environmental Finance Sustainable Investment Awards judging panel praised Ortec Finance – a global provider of technology and solutions for risk and return management – for its "comprehensive coverage of risks".
Its climate risk solution, ClimateMAPS, was launched in partnership with Cambridge Econometrics and seeks to quantify investment portfolio exposure to climate-related financial risks and opportunities.
The solution aims to model extreme and long-term physical, transition and market risks.
Customisations include carbon price and technology uptake, and standard reference scenarios are incorporated, such as the Network of Central Banks and Supervisors for Greening the Financial System (NGFS climate scenario.
In 2022, ClimateMAPS says it has helped a large Canadian pension plan with climate scenario analytics, an Asian institutional investor with non-standard climate scenarios and a multi-national insurer with climate scenarios for Solvency 2 Own Risk and Solvency Assessment (ORSA) reports and Task Force on Climate-related Financial Disclosures (TCFD)-aligned disclosures.
Maureen Maguire, head of US market climate & ESG solutions at Ortec Finance, commented: "We are delighted that ClimateMAPS has been recognised by Environmental Finance for its ability to support financial institutions with its ESG-related risk and reporting methodologies so they can effectively integrate climate risk and opportunities into their investment decision-making.
"Our latest standard set of ClimateMAPS climate scenarios, now in its sixth update, continues to reflect Ortec Finance's independent views and assumptions. Our team of climate experts are proud to continue to demonstrate innovation in modeling to reflect the rapidly evolving and emerging climate-related policy changes from key economies and updated economic projections."
János Hidi, sustainable investment manager, Cambridge Econometrics, added: "The team at Cambridge Econometrics are thrilled that ClimateMAPS has been recognised as an award-winning tool for assessing climate risk by Environmental Finance.
"The first of its kind as a top-down model in a rapidly evolving market, we look forward to continuing to innovate with Ortec Finance, enabling clients to access full climate risk coverage and understand the effects of long-term physical, transitional and market risks at sectoral, geographic and policy levels."