With increasing concerns over climate change, there has been a growing interest in climate investing certificates that equip finance professionals with knowledge on analyzing climate risks and opportunities. This article provides an overview of major climate investing certificate programs like the CFA Climate Risk and Investment Certificate, the GARP Sustainability and Climate Risk Certificate, and the SASB Fundamentals of Sustainability Accounting Certificate. We will explore the curriculum, exam format, eligibility criteria, and costs associated with these certificates, as well as how they can benefit climate investing professionals. A climate investing certificate can demonstrate expertise in assessing climate-related risks and opportunities, valuing assets, constructing climate-aware portfolios, and implementing climate risk mitigation strategies. Let’s explore the requirements and value of major climate investing certificates.
CFA’s Climate Risk and Investment Certificate covers climate science, policy, and financial analysis
The CFA Institute offers the Certificate in Climate Risk and Investment for professionals seeking to gain skills in climate risk assessment and analysis. It aims to equip finance experts with an understanding of climate science, related policy, and how to integrate climate considerations into financial analysis and investment processes. The curriculum encompasses 6 modules – climate science foundations, policy and cultural impacts, climate risk measurement, scenario analysis, sustainable finance instruments and current issues in climate risk. The program does not have any eligibility criteria and is open to anyone interested in learning about climate risk analysis in investment management. The exam is 2 hours and comprised of 100 multiple choice questions. The registration fee is $685 and there are testing windows throughout the year, allowing test takers flexibility in scheduling the exam. The CFA climate investing certificate can demonstrate to employers your ability to analyze the investment implications of climate change.
GARP’s SCR certificate focuses on climate risk management and sustainable finance
The Global Association of Risk Professionals offers the Sustainability and Climate Risk (SCR) certificate for risk management professionals looking to specialize in climate risk. The curriculum covers topics like climate science, environmental policy, climate risk measurement using scenario analysis, application of sustainable finance instruments, and current developments in the field. To be eligible, you need at least 2 years of work experience and a bachelor’s degree. The 3 hour exam consists of 80 multiple choice questions and is offered twice annually. Registration fee is $525 with early bird discounts available. It provides focused knowledge on climate risk management – from climate data analysis, risk metrics and models, to disclosure. The GARP SCR can exhibit your climate risk management proficiency to employers.
SASB’s FSA credential focuses on sustainability accounting and reporting
The SASB Fundamentals of Sustainability Accounting (FSA) credential offered by the Value Reporting Foundation aims to equip professionals with expertise in material sustainability accounting and reporting. It covers sustainability accounting standards, the identification and evaluation of material sustainability factors, and effective reporting. There are no eligibility requirements except the exam fee of $600. The FSA exam has two levels – Level 1 on sustainability accounting principles and Level 2 applying them via cases. Each level consists of 110 multiple choice questions taking 1.5 hours. Those passing both levels earn the FSA climate accounting credential. While less investment-focused, the FSA can demonstrate critical skills in sustainability reporting relevant to climate analysis and investment decision-making.
Major climate investing certificates like the CFA ESG, GARP SCR, and SASB FSA aim to equip finance and investment professionals with specialized knowledge on climate-related risks and opportunities. Though varying in focus, they cover key topics like climate science, policy, risk analysis models, sustainable instruments, and integration into financial valuation and investments. These credentials can validate expertise in climate risk analysis and sustainability reporting – playing a valuable role in the climate finance field.