TCFD

Task Force on Climate-Related Financial Disclosures

The Task Force on Climate-related Financial Disclosures (TCFD) was established in 2015 by the Financial Stability Board (FSB) to develop recommendations for more effective climate-related disclosures. The aim is to provide consistent and reliable information that companies and investors can use to assess and manage climate-related risks and opportunities.

The TCFD recommendations focus on four key areas:

  • Metrics and Targets: Disclosures should include the metrics and targets used to assess and manage relevant climate-related risks and opportunities.
  • Governance: Organizations should disclose their governance around climate-related risks and opportunities.
  • Strategy: Disclosures should include the actual and potential impacts of climate-related risks and opportunities on the organization’s businesses, strategy, and financial planning.
  • Risk Management: Organizations should describe how they identify, assess, and manage climate-related risks.

As of October 12, 2023, the TCFD has fulfilled its remit and disbanded. The FSB has asked the IFRS Foundation to take over the monitoring of the progress of companies’ climate-related disclosures. The knowledge hub resources are still available, however no new content has been added after 2023.

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