{"title":"A text mining analysis of European banks' and insurers' disclosures on climate‐related risks","authors":"Anna Kraus","doi":"10.1111/rmir.12268","DOIUrl":null,"url":null,"abstract":"This paper empirically analyzes sustainability‐related disclosures of listed European banks and insurance companies by focusing on transition risks, physical risks as well as stranded assets as a possible consequence of transition and physical risks. We employ a text mining analysis and apply a comprehensive keyword catalog to 142 firms. The dataset used for the analysis comprises 852 annual and 551 sustainability reports, covering a sample period from 2017 to 2022. Our results show that disclosure on climate‐related risks considerably increases over the examined period, but that reporting on stranded assets is still in early stages. Moreover, European insurers report more on climate‐related risks relative to the number of analyzed tokens than banks. Finally, statistical evidence suggests that larger banks and insurers with above‐median market capitalization exhibit significantly more word hits on climate‐related risks as compared to smaller firms.","PeriodicalId":35338,"journal":{"name":"Risk Management and Insurance Review","volume":null,"pages":null},"PeriodicalIF":1.1000,"publicationDate":"2024-05-10","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":"0","resultStr":null,"platform":"Semanticscholar","paperid":null,"PeriodicalName":"Risk Management and Insurance Review","FirstCategoryId":"1085","ListUrlMain":"https://doi.org/10.1111/rmir.12268","RegionNum":0,"RegionCategory":null,"ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":null,"EPubDate":"","PubModel":"","JCR":"Q3","JCRName":"BUSINESS, FINANCE","Score":null,"Total":0}
引用次数: 0
Abstract
This paper empirically analyzes sustainability‐related disclosures of listed European banks and insurance companies by focusing on transition risks, physical risks as well as stranded assets as a possible consequence of transition and physical risks. We employ a text mining analysis and apply a comprehensive keyword catalog to 142 firms. The dataset used for the analysis comprises 852 annual and 551 sustainability reports, covering a sample period from 2017 to 2022. Our results show that disclosure on climate‐related risks considerably increases over the examined period, but that reporting on stranded assets is still in early stages. Moreover, European insurers report more on climate‐related risks relative to the number of analyzed tokens than banks. Finally, statistical evidence suggests that larger banks and insurers with above‐median market capitalization exhibit significantly more word hits on climate‐related risks as compared to smaller firms.
期刊介绍:
Risk Management and Insurance Review publishes respected, accessible, and high-quality applied research, and well-reasoned opinion and discussion in the field of risk and insurance. The Review"s "Feature Articles" section includes original research involving applications and applied techniques. The "Perspectives" section contains articles providing new insights on the research literature, business practice, and public policy. The "Educational Insights" section provides a repository of high-caliber model lectures in risk and insurance, along with articles discussing and evaluating instructional techniques.