Finance Research Event – Professor Ivan Diaz-Rainey
Finance Research Event – Professor Ivan Diaz-Rainey
Date: 09 October 2024
Time: 11:00- 14:00
Location: NUBS.1.13
Speaker: Professor Ivan Diaz-Rainey, Professor of Finance, Griffith University
Professor of Finance, Griffith University Professor Diaz-Rainey is a leading international expert in climate and sustainable finance. He is a Professor of Finance at Griffith University (Australia) and he is an Honorary Professor at the University of Otago (New Zealand). He will be a Visiting Fellow at the Edinburgh Futures Institute (University of Edinburgh, UK) in 2024 and is currently an Advisor/Instructor to the Florence School of Banking and Finance (European University Institute, Italy) on a climate stress testing training programme for the European Central Bank and Single Supervisory Mechanism. Previously he has held academic positions at the University of Otago (New Zealand), University of East Anglia (UK), the European University Institute (Italy), where he held a prestigious Jean Monnet Fellowship, and the Higher Colleges of Technology (Abu Dhabi). He was a Director of the Global Research Alliance for Sustainable Finance and Investment (GRASFI) between 2017 to 2022. His research expertise includes climate finance, carbon markets, energy finance, banking, financial regulation, green Fintech and energy and environmental policy. A bibliometric analysis placed him as one of the 20 most productive researchers in climate finance globally (Long et al. 2023, J. of Climate Finance).
Schedule
11.00-12.00 – ECR/PhD Development Event
12.00-13.00 – Buffet Lunch with Faculty and PhD students
13.00-14.00 – Research Seminar
ECR/PGR Development Event- Keeping it Real: Partnerships, Funding and Research in Climate Finance
If you would like to attend, please register using the following link:
Keeping it Real: Partnerships, Funding and Research in Climate Finance
Abstract:
The session will provide an overview of emerging trends in climate and sustainable finance that will provide considerable opportunities for researchers in the coming decades. It will argue that to be truly relevant in the climate context, finance researchers will need to more fully embrace interdisciplinarity, as well as engagement with industry and policymakers. Examples of interdisciplinary, externally funded projects aiming to achieve both academic and practical impact will be provided.
Research Seminar – Extreme Seas, Climate Change and Banking Stability: A Bottom-Up Temporospatial Stress Test in the Context of Domestic Real Estate
If you would like to attend, please register using the following link:
Abstract:
We undertake a novel bottom-up temporospatial climate stress test of extreme seas (from storms) and rising sea levels hazards on real estate values and banking stability in New Zealand (NZ). The context is pertinent since NZ has a bank-based financial system, with 85% of household wealth and 60% bank assets concentrated in domestic real estate that is mainly located in coastal cities. We find that, despite low current exposure (<1.5% properties exposed to coastal inundation), exposure rises markedly as sea levels rise. Socio-economically disadvantaged suburbs face heightened risks, and these are served by smaller local banks with inferior ex-ante financial risk profiles. Critically, the market has failed to fully price present-day and future coastal flooding risk to real estate values. Depending on sea level rise scenarios, potential annual flood losses range from 5% to 16%, and could be higher for permanently inundated properties. Delayed climate transition has a multiplier effect on financial loss, and vertical land motion can exacerbate the effect of sea level rise. The climate stress test shows that banks face losses of between 2%-14% on their core capital values (CET1) depending on scenario, and the degree of losses vary across banks (CET1 of between 8%-14% in the most severe scenario).