ERM partner warns against ‘wait and watch’ approach on SEC disclosure proposals

In an article for consulting firm ERM, Robert LaCount warns investors and companies against taking a “wait and see” approach as the Securities and Exchange Commission (SEC) reviews the public responses to its climate-related disclosure proposals. LaCount, an ERM partner, writes: "Companies that proactively take action on their climate strategy now are not only placing themselves in a better position for a finalised rule – they are also gaining a competitive edge by becoming more agile in identifying and executing on opportunities, as well as mitigating risk." According to LaCount, assessing capabilities against the Taskforce on Climate-Related Financial Disclosures framework is a good starting point, as is carefully thinking through the costs of disclosure, which recent research puts at an estimated annual cost of $533,000.