Scientific Publications
Stranded Assets in the Context of the Low Carbon Economy: A Bibliometric Study
Book chapter
Modern Regulations and Practices for Social and Environmental Accounting - IGI Global - 2022
"The generation of stranded assets affects the largest oil, gas, and coal companies in the world; the entire resulting structural chain; and also carbon-intensive industries. Thus, this chapter aimed to understand the state of the art of the stranded assets theme produced in the scientific world. The investigation showed that the Paris Agreement contributed to increase the amount of research on stranded assets with a growth of 91.09%, when compared to the pre-agreement period. Although the number of recent researches is significant, the theme is concentrated in two prominent authors who collaborate with each other and have a strong influence on the other works identified in the other clusters, serving as references in works of the sample extracted from the Scopus database. Ben Caldecott and Adrien Vogt-Schilb were identified as prominent on the topic investigated due to the significant number of citations in works around the world."
Central Banks in Latin America: Actions for sustainability, including mitigation and adaptation policies for climate-related risks
Book chapter
Paving the Way for Greener Central Banks. Current Trends and Future Developments around the Globe - Istituto Affari Internazionali (IAI) - 2022
ESG in regulation and public policy (free translation)
Book chapter
New Frontiers of Risk and Return: A Practical Guide to Integrating ESG into Investing - Editora Lux - 2022
Environmental risk management of international reserves: an applied framework with the Central Banks from Latin America and the Caribbean
Article
Cadernos de Finanças Públicas - Tesouro Nacional - 2022
"This is an applied framework discussion with central banks (CBs) from Latin America and the Caribbean (LAC) regarding the environmental risk management (ERM) of the international reserves (IRs). This study is based on a sample of CBs from LAC, taking into consideration the national exports of the respective countries, the risk of sudden stops in capital flows and the IRs’ economic objectives. Commodities are economically relevant for all analyzed countries. The specific environmental risk exposures are discussed, as are the alternatives to ERM through the IRs’ strategic asset allocation (SAA). The framework discussed herein includes environmental risk analysis (ERA) in the IRs’ traditional SAA approach. As a result, IRs investments can become more resilient to environmental and climate risk exposure."
Environmental risk analysis (ERA) in the strategic asset allocation (SAA) of the international reserves (IRs) managed by central banks (CBs)
Article
Latin American Journal of Central Banking - Volume 2, Issue 1 - March 2021
"This study addresses how to consider environmental risk analysis (ERA) in the strategic asset allocation (SAA) of international reserves (IRs) managed by central banks (CBs). For that, a multicriteria analytical framework is proposed for the evaluation of the environmental risk exposure of an investment portfolio, compatible with the investor profile of the CBs. Thus, the framework includes ERA in the traditional SAA approach of IRs. Environmental risks, as physical and transition climate ones, are resulting in a range of financial risks, but ERA is still incipient in the financial investment sphere, especially among CBs. Reports of the NGFS and NGFS members were reviewed, and we found no specific indication of ERA as an input on SAA of the IRs. Thus, the main argument of this study is that since ERA is included in the traditional approach to SAA, IRs investments will be more resilient to environmental and climate risk exposure. The framework discussed in this paper suggests that for each viable portfolio, a CB should use scenarios of environmental risks along with probabilities and potential impacts to choose the appropriate portfolio. The risk and return relationships of the portfolios in each scenario should be evaluated based on environmental factors."
The impacts of environmental disasters on share value and sustainability index: an analysis of Vale company facing Mariana and Brumadinho disasters – Brazil
Article
Latin American Journal of Management for Sustainable Development. vol 5 n 1 - February 2020
"Amid a ripening worldwide discussion on corporate sustainability and financial markets, this study evaluates how the collapses of the Mariana and Brumadinho dams in Brazil impacted Vale's share price, its financials and the related sustainability indices. The research methodology contemplates a historical analysis of these elements, as well as the commodity metals price and BHP's share values, for comparison purposes. The results show Vale's stock price recovering in the short-term after the disasters, despite operational failures in upstream tailings dams, contingencies and other impacts recognised in Vale's financial statements. Additionally, Vale's share negatively impacted the ISE following both events. Vale and BHP were also part of the DJSI and FTSE Indexes, respectively. This research contributes to the understanding of financial market behaviour in the face of major disasters and the respective impact on sustainability indexes. Hence, it is relevant to support the decision-making process of stakeholders."
Wind power energy in Brazil: public financing and future perspectives
Article
Latin American J of Management for Sustainable Development vol 4 n 1 - January 2018
"This paper focuses on the financial challenges faced by the wind power energy players in Latin America – Brazil. Governmental efforts are already underway to attract and support this industry with enormous growth potential, in order to diversify the energy matrix and reduce greenhouse emissions. However, public financing may not be able to face this challenge alone and solutions among the private sector may be found. This study, based on the debt structure of three key companies of this sector, concludes that the analysed wind energy projects were financed mainly through subsidies from the Brazilian Development Bank (BNDES). Furthermore, the Brazilian market starts considering green bonds as a strategy to fund wind energy projects. So, there is room for strategies to include the private sector in the financing of the wind power energy industry in Latin America – Brazil."
Non Scientific Publications
Brazil’s central bank ramps up environmental risk management with new satellite surveillance initiative
Article
Perspectives - Tropical Forest Alliance (TFA) - May 2023
Taxonomies in Sustainable Finance: reflection for the development of a taxonomy in a national context
Report
Lab de Inovação Financeira - May 2023
The current status of the Brazilian agricultural and livestock sector under carbon market outlook: challenges and opportunities
Article
IAC Newsletter - FDC - 2022
Introduction to ESG factors and their added value to the company (free translation)
Article
Linkedin - September 2021
Stranded Assests: Perspectives facing a new economic paradigm (free translation)
Article
Regional Council of Accounting (CRC-BA) Technical Journal - July 2021
ISSN 2764-2674
Brazil needs ESG investments in infrastructure (free translation)
Article
"Incentives for sustainable development are an opportunity for long-term investments, with an eye on valuing green bonds"
Action and Reaction (free translation)
Article
Pagina 22 - P22 - February 2021
"This article analyzes the main impacts caused by ESG policies and actions on the financial market and on the export basket. The proper conduct of this agenda in the country will be fundamental for the Brazilian economic recovery"
Sustainable Finance and Investments in Brazil
White Paper
Laboratório de Pesquisa em Finanças, Valoração de Ativos e Sustentabilidade - October, 2020
Amazon conservation policies can impact the cost of Brazilian debt (free translation)
Article
Pagina 22 - P22 - January 2020
"A 1% increase in funding costs, for example, would lead Brazil to additionally disburse US$ 5 billion per year in the payment of foreign debt services. Brazilian exports can also be affected by regulatory barriers, as well as foreign direct investment in the country, with an impact on the balance of payments." (free translation)
Failures in Oil Management (free translation)
Article
Correio da Bahia - November 2019
“The first signs of oil stains that have been affecting the beaches of the Brazilian Northeast were detected on August 30 (2019), on the coast of Paraíba (...) More efficient and effective actions are lacking given the seriousness of the facts. For the federal authorities, the responsibility for the oil "was not ours". How did we fail in what was “our responsibility”? After all, wasn't this risk predicted earlier? Could we have avoided it? How should we act to minimize the damage?" (free translation).
Conferences
Latin America (LATAM) Central Banks (CBS) environmental risk management of the internacional reserves: An applied framework discussion (Winner best work in theme)
Conference
XXIII ENGEMA - Online - November, 2021
Sustainable Finance and Investment
Conference
Global Business School Network - GBSN Beyond - Online - November, 2021
Environmental Risk Analysis (ERA) in the Strategic Asset Allocation (SAA) of the International Reserves (IRs) managed by Central Banks (CBs)
Conference
XXVI Meeting of the Central Bank Researchers Network - CEMLA - Mexico City/Online - November, 2021
Environmental Risk Analysis (ERA) in the Strategic Asset Allocation (SAA) of the International Reserves (IRs) managed by Central Banks (CBs)
Workshop
GRASFI Annual Conferente - Beijing, China/Online - September 2021
Why is the ESG Report important? (free translation)
Conference
VII Conferência Sulamericana de Contabilidade Ambiental (CSCA) - Online - June 2021
Environmental Risk Analysis (ERA) in the Strategic Asset Allocation (SAA) of the International Reserves (IRs) managed by Central Banks (CBs)
Seminar
XXII ENGEMA - São Paulo, Brazil - November 2020
FSI-CEMLA-BCB Seminar on Climate Risk Assessment in the Financial Sector- December 2020 and Grasfi Conference 2020- PhD Workshop- September 2020
"This study addresses how to consider environmental risk analysis (ERA) in the Strategic Asset Allocation (SAA) of the International Reserves (IRs) managed by Central Banks (CBs). For that, a multicriteria analytical framework is proposed for the evaluation of the environmental risk exposure of an investment portfolio, compatible with the investor profile of the CBs. Thus, the framework includes ERA in the IRs Traditional SAA approach. Climate physical and transition risks are resulting in a range of financial risks, but ERA is still incipient in the financial investment sphere, especially among CBs. Thus, the main argument of this study is that since ERA is included in the traditional approach for SAA, CBs international reserves investments will be more resilient to climate risk exposures. The framework discussed in this paper suggests that for each viable portfolio the CB should use scenarios of environmental risks along probabilities and potential impacts to choose the appropriate portfolio. The risk and return relationships of the portfolios in each scenario should be evaluated based on the environmental physical and transition factors."
The exposure of institutional investors to environmental risks: A study focused on the management of international reserves by central banks
Conference Paper
Conferences: XXI ENGEMA at FEA USP - São Paulo, Brazil - December 2019
CEMLA and Banco de México- Conference on Climate Change and its Impacts in the Financial System at CEMLA - Mexico City - December 2019
PhD Workshop of the GRASFI Conference 2019- University of Oxford
"Through literature review and analysis of specialized reports from praxis, this study addressed how to consider environmental risks in the strategic asset allocation of the International Reserves (IRs) managed by Central Banks (CBs). For that, it was also proposed a multicriteria analytical model for the evaluation of the environmental risk exposure of an investment portfolio, compatible with the investor profile of the CBs. Environmental physical and transition risks are resulting in a range of financial risks. Despite proper risk management being essential for efficient investment management, environmental risk analysis is still incipient in the financial investment sphere, especially among CBs. The theoretical and practical gaps in this subject were reinforced in the first comprehensive report of the newly created group of CBs, the Network for Green Financial System (NGFS). CBs, notwithstanding their regulatory, supervisory and other relevant functions, are among the largest global investors, managing IRs totaling trillions of dollars. The study has the potential to impact the construction of the IR investment portfolios due to the different angles that must be considered in the selection of currencies and asset classes. This study may also support CBs decision making from a managerial perspective, in addition to helping them with the construction of a related framework."
The Impacts of Environmental Disasters on Share Value and Sustainability Index
Abstracts published in conference proceedings
VI Conferência Sulamericana de Contabilidade Ambiental (CSCA) - 2019
"Amid a ripening worldwide discussion on corporate sustainability and financial markets, this study evaluates how the collapses of the Mariana and Brumadinho dams in Brazil impacted Vale´s share price, its financials and the related sustainability indices. The research methodology contemplates a historical analysis of these elements, as well as the commodity metals price and BHP´s share values, for comparison purposes. The results show Vale´s stock price recovering in the short term after the disasters, despite operational failures in upstream tailings dams, contingencies and other impacts recognized in Vale’s financial statements. Additionally, Vale´s share negatively impacted the ISE following both events. Vale and BHP were also part of the DJSI and FTSE Indexes, respectively. This research contributes to the understanding of financial market behavior in the face of major disasters and the respective impact on sustainability indexes. Hence, it is relevant to support the decision-making process of stakeholders."
Financing wind power energy industry in Brazil
Conference Paper
Conference: Brazil Windpower 2017 - January 2017
"This paper is an exploratory descriptive research focused on green finance, specifically on the financial challenges faced by the wind power energy players in Brazil. The challenges are discussed based on the debt structure from three big companies of this sector. There is an enormous potential for the growth of the clean and renewable energy industry in Brazil, considering two main objectives: diversification of the energy matrix and reduction of greenhouse emissions. Thus, governmental efforts are already underway to attract and support this industry. However, public financing cannot face this challenge alone and solutions among the private sector may be found. This study concludes that the wind energy projects of CPFL Renováveis, Renova Energia and Casa dos Ventos were financed mainly through subsidized financing obtained from the Brazilian National Bank for Economic and Social Development (BNDES). Furthermore, the Brazilian market starts considering green bonds as a strategy to fund wind energy projects. So, there is much room for searching strategies to include the private sector in the financing of the clean energy industry in Brazil, specifically the wind power one."