CLIMATE ECONOMETRICS FOR INFRASTRUCTURE ASSET VALUATION
For portfolio risk and valuation leaders quantifying financial effects before allocating capital.
EXPLORE METHODS BY DECISION
LATEST ECONOMETRICS
Decision Systems and Model Governance: Implementing Reproducible Econometrics and Model Governance
Direct Answer Reproducible climate econometrics requires versioned data, code, assumptions, model artifacts, and decision outputs that another qualified analyst can reconstruct. Model governance adds clear ownership, independent validation,...
Decision Systems and Model Governance: Running Portfolio Stress Tests and Optimizing Capital Allocation
Direct Answer A portfolio climate stress test applies coherent hazard, vulnerability, valuation, financing, and recovery assumptions to estimate losses and performance under adverse but plausible conditions. Capital allocation then compares...
Decision Systems and Model Governance: Estimating Heterogeneous Effects With Causal Machine Learning
Direct Answer Causal machine learning estimates treatment effects by using flexible algorithms to model complex relationships and heterogeneity. Double or debiased machine learning uses sample splitting and orthogonal scores to reduce...
Model Risk, Uncertainty, and Validation: Propagating Uncertainty and Conducting Hindcasts
Direct Answer Uncertainty propagation carries variability from exposures, hazard projections, vulnerability, damage functions, financial forecasts, and parameter estimates into final risk outputs. Hindcasting tests whether a model, using only...
Model Risk, Uncertainty, and Validation: Combining Scenario Ensembles and Alternative Models
Direct Answer Scenario ensembles combine results across climate pathways, general circulation models, hazard models, damage functions, or econometric specifications. A simple average is appropriate only when members are comparable and the weighting...
Model Risk, Uncertainty, and Validation: Decomposing Portfolio Risk and Financial Performance
Direct Answer Portfolio decomposition attributes total climate risk or climate-adjusted performance to assets, hazards, locations, and model components. For additive expected loss, contribution is straightforward: each asset's weighted loss sums to...