Emmy discussed on Scientific Sense

Scientific Sense


Trying to establish a relationship between against some the risk free. And a relation to volatility to overall the market returns. The correlation with with the from owns. Owns that comes or generates of capital. Now, again, what we have in that function we make fooled. Abstraction of the finality costs. So what we could do is we could add it as a function. Again of our observations are readings stood the co two VPN or to the finite carbon reserve. That we have So this is the The four hundred twenty tonnes that we currently have as a reserve carbohydrates. And then we can say, okay, this is going to add let's say four to five percent and again you know we could undertake more precise. Research to to calibrate the exact level, and then we can actually consider rebates as a result of the rankings in this universe of the foreign corporations. For the best performing, you could actually take away the full you know carbon margin that would be applied to fort, much sent, and so for the people that are you know heavy At which have very heavy carbon footprint, you would leave or they would not be able to date any of that cost. So what you would do as a result of this calibration methodology or change in that methodology is that you would leave a higher cost of capital for those companies that don't undertake any incentive to reduce their carbon footprint, and as a result, you know you would increase the hurler rate or discount rate. So it's a way it's a the proportion of allergies is a wage decarbonised. The discount rate that is applied. You know in fairness opinions at the moment, it's an emmy transactions in private equity transactions. So we all use a spray, the opinions based on the discount rate. Now a which you know it's emanating from the Cadillac pricing mythology, but we are not taking into account that carbon footprint. So this is a solution you know straightforward. Easy to to apprehend comprehend into to. So And that's one way by starting to recognize and reconsider the allocation of your capitalism function of people's carbon footprint and our observations of Co two PM in the atmosphere as well as the remaining. Carbon s you to reserve set at about four hundred. Yes Sort of talked out late requirements regarding disclosures..

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