The time has come to view climate as a macro investment theme driving future market dynamics. As environmental crises accelerate, investors who can quantify the impact of the economy on the natural world and vice versa will gain a competitive advantage. Climate Alpha gives you a unique edge with our “quantamental” (quantitative + fundamental) approach rooted in spatial finance, in which geographic location, the natural environment, and financial outcomes are interlinked.
Our approach blends data science with discretionary analysis to enhance risk- adjusted returns across the investment universe.
Our quantamental method:
Leverages a wide array of traditional and alternative data
Deploys machine learning models to detect signals and opportunities
Utilizes comprehensive training data that can be backtested and retrained
Augments data science with discretionary analysis for realistic strategies
Climate Alpha provides AI-powered, location-based analytics and advisory to capitalize on climate volatility. We use machine learning to model interactions between climate, market, socioeconomic and other variables to identify risks and opportunities.
Our Investment Advisory team works with you to:
Quantify the direct and indirect financial impact of climate change (alongside traditional value drivers) on your portfolio
Capture climate-driven opportunities through signal detection that steers asset selection across real assets, public and private equity, commodities, fixed income, etc.
Construct portfolios optimized for climate and financial performance
Build climate-aligned indicies for ETF investing or benchmarking
Stress-test portfolios under multiple RCP/SSP or custom scenarios
Our Competitive Edge
Geospatial analytics and methods to connect climate and the natural environment to financial performance
Go beyond ESG greenwashing to screen for and measure financially material factors
Regulatory signals, remote sensing, mobility patters, sentiment analysis and over value-impacting factors
Go beyond climate risk metrics to identify mispriced, climate-resilient assets
Proprietary data, analytics, and tools accessible on a cloud-based SaaS platform