We propose and implement a procedure to dynamically hedge climate change risk. We extract innovations from climate news … change hedge portfolios. We discipline the exercise by using third-party ESG scores of firms to model their climate risk … approaches to managing climate risk. …

We propose and implement a procedure to dynamically hedge climate change risk. To create our hedge target, we extract … hedge portfolios. We discipline the exercise by using third-party ESG scores of firms to model their climate risk exposures … managing climate risk …

We study the pricing of uncertainty shocks using a wide-ranging set of options that reveal premia for macroeconomic … risks. Portfolios hedging macro uncertainty have historically earned zero or even significantly positive returns, while … role for "good uncertainty". Options for nonfinancials are particularly important for spanning macro risks and good …

We propose and implement a procedure to dynamically hedge climate change risk. To create our hedge target, we extract … hedge portfolios. We discipline the exercise by using third-party ESG scores of firms to model their climate risk exposures … managing climate risk …

We propose and implement a procedure to dynamically hedge climate change risk. To create our hedge target, we extract … equity returns. We discipline the exercise by using third-party ESG scores of firms to model their climate risk exposures. We … primarily on industry tilts. We discuss multiple directions for future research on financial approaches to managing climate risk …

We study the pricing of shocks to uncertainty and volatility using a novel and wide-ranging set of options contracts …. If uncertainty shocks are viewed as bad by investors, portfolios that hedge them should earn negative premia. Empirically … realizations of shocks to fundamentals, not forward-looking uncertainty shocks, that drive investors' marginal utility; in turn …