This paper explores how the low-carbon transition affects firms' credit ratings and market-implied distance-to-default. We develop a novel dataset covering firms' greenhouse gas emissions alongside climate disclosure and forward-looking emission reduction targets. Panel regression analysis...

This paper explores how the low-carbon transition affects firms' credit ratings and market-implied distance-to-default. We develop a novel dataset covering firms' greenhouse gas emissions alongside climate disclosure and forward-looking emission reduction targets. Panel regression analysis...

Using newly compiled cross-economy data on national climate legislation matched with mutual fund portfolio holdings, this paper finds that enshrining a climate commitment in law redirects capital toward green assets. A staggered difference-in-differences design reveals that legally binding...

Using newly compiled cross-economy data on national climate legislation matched with mutual fund portfolio holdings, this paper finds that enshrining a climate commitment in law redirects capital toward green assets. A staggered difference-in-differences design reveals that legally binding...