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RISK MANAGEMENT SOLUTIONS
GLOBAL CLIMATE CHANGE
2040
GLOBAL TEMPERATURE
INSURANCE
Uncertainties around future climate mean risk for communities and businesses. Because we are convinced that improved resilience could be achieved by transferring exposures to expert risk managers, we have designed risk transfer solutions for climate risk.
2040 Global Temperature Insurance is a category of climate risk solutions which specifically transfer global temperature risk. Whether you have exposure to higher than expected global warming (and the associated costly increase of extreme weather conditions and natural catastrophes) or to lower than expected global warming (and the associated lack of support from investors and/or regulators for your climate change adaption projects), you should consider 2040 Global Temperature Insurance.
Example 1 : Global temperature Call 2040 +1.5°C / + 2.5°C
Product
Global temperature Call 2040 +1.5°C / + 2.5°C
Risk
Higher than expected global warming
Index
Average of annual near surface global temperature as published by the Data Provider during the Observation Period
Data Provider
Met Office
Observation Period
From 2035-01-01 to 2039-12-31
Strike
+1.5°C
Cap
+2.5°C
Payment
Limit x Min ((Cap - Strike); Max (0; Index – Strike)) / (Cap – Strike)
Settlement Date
2040-03-15
Limit
EUR 10 000 000
Annual Premium
Example 2 : Global temperature Put 2040 +1.5°C / + 0.5°C
Product
Global temperature Put 2040 +1.5°C / + 0.5°C
Risk
Lower than expected global warming
Index
Average of annual near surface global temperature as published by the Data Provider during the Observation Period
Data Provider
Met Office
Observation Period
From 2035-01-01 to 2039-12-31
Strike
+1.5°C
Floor
+0.5°C
Payment
Limit x Min ((Strike - Floor); Max (0; Strike - Index)) / (Strike – Floor)
Settlement Date
2040-03-15
Limit
EUR 10 000 000
Annual Premium
climate-temperature
climae-sealevel
2040
GLOBAL SEA LEVEL
INSURANCE
Uncertainties around future climate mean risk for communities and businesses. Because we are convinced that improved resilience could be achieved by transferring exposures to expert risk managers, we have designed risk transfer solutions for climate risk.
2040 Global Sea Level Insurance is a category of climate risk solutions which specifically transfer global sea level risk. Whether you have exposure to higher than expected sea level rising (and the associated costly damage on your assets or operations) or to lower than expected sea level rising (and the associated lack of support from investors and/or regulators for your climate change adaption projects), you should consider 2040 Global Sea Level Insurance.
Example 1 : Global Sea Level Call 2040 +150 mm / + 250 mm (ref. 1993)
Product
Global Sea Level Call 2040 +150 mm / + 250 mm (ref. 1993)
Risk
Higher than expected global sea level rise
Index
Average of global seal level data published by the Data Provider for the Observation Period
Data Provider
NASA
Observation Period
From 2039-01-01 to 2039-12-31
Strike
+150 mm
Cap
+250 mm
Payment
Limit x Min ((Cap - Strike); Max (0; Index – Strike)) / (Cap – Strike)
Settlement Date
2040-05-15
Limit
EUR 10 000 000
Annual Premium
Example 2 : Global Sea Level Put 2040 +150 mm / + 50 mm (ref. 1993)
Product
Global Sea Level Put 2040 +150 mm / + 50 mm (ref. 1993)
Risk
Lower than expected sea level rise
Index
Average of global seal level data published by the Data Provider for the Observation Period
Data Provider
NASA
Observation Period
From 2039-01-01 to 2039-12-31
Strike
+150 mm
Floor
+50 mm
Payment
Limit x Min ((Strike - Floor); Max (0; Strike - Index)) / (Strike – Floor)
Settlement Date
2040-05-15
Limit
EUR 10 000 000
Annual Premium
INNOVATIVE
CLIMATE CHANGE ADAPTATION
FINANCING
Ambitious climate change adaptation projects often require significant amount of financing through debt and equity.
It is not easy to secure good financing in the context of uncertainties about the pace of global warming and associated uncertainties such as future perceived value of the project and future support from regulators.
Whether you are a lender, an investor or a project developer we could help you structure innovative financing schemes in order to secure long term value of the project or make it scale smoothly depending on future climate projections.
For example, we could design schemes that would automatically ease financing conditions in case of faster/lower global warming than expected. Alternatively we could provide more vanilla products that would trigger payments in case certain climate change thresholds are reached sooner than expected so that financial resources could be promptly allocated to adaptation plans.
climatechange-financing
requestinfo-climatechange
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