Forestry-Backed Assets Design

In this report, we consider in detail security design mechanisms in relation to forestry projects bundled into forestry-backed securities. We focus on foundational concepts of forest aggregation, which should be of interest to any originator of forestry-linked securities. Once the mechanics of risk aggregation are well understood, it becomes relatively straightforward to tranche the forestry […]

Downscaling of Physical Risks for Climate Scenario Design (White Paper)

This paper discusses how global climate model outputs can be downscaled to spatial resolutions of interest to market participants and asset owners in Asia. Examples are provided for the evolution of temperature, rainfall, wind speed and coastal surge along an adverse climate scenario for Indonesia, Malaysia, Thailand and the Philippines. The downscaling technology allows market […]