Weather Risk and Business Impact Analysis for Financial Hedging

Meteo Protect researchers released a white paper titled 'Measuring and Managing Weather Variability: Protecting Businesses from WeatherRisks'. The paper explores methods to quantify the impact of adverse weather on business performance, including calculating average and maximum potential losses. It aims to help risk managers understand and hedge financial exposure attributed to weather variability and climate change.

Use Cases

• Quantifying maximum potential business loss from adverse weather based on daily deviation metrics described in the paper.
• Evaluating total business exposure to weather for financial hedging decisions using the WeatherRisks framework.
• Assessing operational changes needed to mitigate climate change risks based on weather impact analysis.
• Supporting climate vulnerability assessments for investor and shareholder reporting as mentioned in the description.

Strengths

• The description details a methodology for calculating both average and maximum weather-related losses ('WeatherRisks').
• The work is connected to a specific organization, Meteo Protect, and author, Oury Pewzer.
• The paper addresses a timely need for climate risk assessment highlighted by events like the Cop21 conference.

Limitations

• Row count is unknown, which may limit suitability assessment.
• Column-level documentation is absent; field semantics must be inferred after download.
• Last update date is unknown; freshness unverified.

Provenance

Source

Meteo Protect researchers, authored by Oury Pewzer.

Collection Method

Likely involves analysis of weather data and business performance metrics, as described in the white paper.