BEGIN:VCALENDAR
VERSION:2.0
PRODID:-//hacksw/handcal//NONSGML v1.0//EN
CALSCALE:GREGORIAN
BEGIN:VTIMEZONE
TZID:Europe/London
BEGIN:STANDARD
TZNAME:GMT
DTSTART:19710101T020000
TZOFFSETFROM:+0100
TZOFFSETTO:+0000
RRULE:FREQ=YEARLY;BYMONTH=10;BYDAY=-1SU
END:STANDARD
BEGIN:DAYLIGHT
TZNAME:BST
DTSTART:19710101T010000
TZOFFSETFROM:+0000
TZOFFSETTO:+0100
RRULE:FREQ=YEARLY;BYMONTH=3;BYDAY=-1SU
END:DAYLIGHT
END:VTIMEZONE
BEGIN:VEVENT
DTEND;TZID=Europe/London:20230126T140000
UID:https://www.lse.ac.uk/granthaminstitute/?post_type=event&p=61874
DTSTAMP;TZID=Europe/London:20260405T154410Z
LOCATION:LSE Campus and online
DESCRIPTION:<!-- wp:paragraph -->
<p><strong>Luca will be discussing the paper <em>Carbon Default Swap - Disentangling the Exposure to Carbon Risk Through CDS</em></strong></p>
<!-- /wp:paragraph -->

<!-- wp:paragraph -->
<p><strong>Abstract</strong></p>
<!-- /wp:paragraph -->

<!-- wp:paragraph -->
<p>Using Credit Default Swap spreads\, we construct a forward-looking\, market-implied carbon risk factor and show that carbon risk affects firms' credit spread. The effect is larger for European than North American firms and varies substantially across industries\, suggesting the market recognises where and which sectors are better positioned for a transition to a low-carbon economy. Moreover\, lenders demand more credit protection for those borrowers perceived to be more exposed to carbon risk when market-wide concern about climate change risk is elevated. Finally\, lenders expect that adjustments in carbon regulations in Europe will cause relatively larger policy-related costs in the near future.</p>
<!-- /wp:paragraph -->

<!-- wp:separator -->
<hr class="wp-block-separator has-alpha-channel-opacity"/>
<!-- /wp:separator -->

<!-- wp:paragraph -->
<p>Grantham Workshops are only open to LSE researchers and alumni. If you wish to attend the workshop in person or online please sign up to our <a href="https://www.lse.ac.uk/granthaminstitute/grantham-workshop-registration-of-interest/">workshop mailing list.</a></p>
<!-- /wp:paragraph -->
URL;VALUE=URI:https://www.lse.ac.uk/granthaminstitute/events/luca-taschani-grantham-workshop/
SUMMARY:Carbon Default Swap – disentangling the exposure to carbon risk through CDS | Luca Taschini
DTSTART;TZID=Europe/London:20230126T123000
END:VEVENT
END:VCALENDAR