As part of its assessment, the TCFD reviewed publicly available reports of over 1,400 companies from eight industries and five regions to better understand current climate-related financial disclosure practices and their evolution.
Key takeaways from the report include:
- The percentage of companies disclosing TCFD-aligned information continues to grow, but a more urgent process is needed.
- All regions have significantly increased their levels of disclosure over the past three years.
- A majority of asset managers and asset owners report to their clients and beneficiaries.
- Nearly 50% of asset managers and 75% of asset owners reported information aligned with at least five of the 11 recommended disclosures.
- The percentage of companies disclosing the TCFD recommendations in financial filings or annual reports has increased each year.
- The availability and quality of climate-related financial disclosures has increased since June 2017.
- Investors and others use disclosures in decision-making and pricing.
Over the next several months, the TCFD will continue to monitor companies’ progress in disclosing climate-related financial information aligned with its recommendations and will prepare another status report for the Financial Stability Board in October 2023.