Values At Risk: Environmental Risk and Resilience in the Financial System

Catalog description

This class will first look at risk in the financial system, seeking first to understand what it is, how it has been understood in the past, and how it impacts business and decision-making today. We will then dig deeper into environmental risk, what it is, how it is measured, and how it is incorporated into financial choices. Throughout the course we will pay particular attention to insurance (and Alternative Risk Transfer) and credit rating scores as financial approaches that attempt to manage and price risk. We will then look at how we can best prepare ourselves to withstand risk and how such efforts can be incentivized. Finally, the class will collectively try to come up with new and interesting ways to incorporate environmental risk into today’s financial world and present these ideas to risk managers from across the financial spectrum.