How We Work
From source to conclusion – every number is traceable, every assumption documented.
Physical risks are systematically underestimated because the evidence never reaches the models where investment decisions are made. We close that gap with a five-step translation chain: locate each asset, characterise its hazards, quantify the financial impact, place it in your decision context, and deliver auditable evidence.
The Translation Chain
Five layers that transform physical hazard data into investment-grade evidence
Locate
Fix assets to precise coordinates – not headquarters addresses or aggregated regions. Every building, every facility, every plot individually geolocated.
HQ addresses obscure actual exposure. A portfolio may appear diversified at country level while critical assets are concentrated in the same flood zones.
Characterize
For each location: Which physical hazards are relevant? At what intensity and probability? Based on high-resolution hazard data and climate scenarios.
Quantify
Damage functions translate hazard intensity into financial impact. Not generic, but asset-specific: building type, usage, protective measures, local cost factors.
This is where climate science connects to financial metrics. The damage function is the critical translation step.
Contextualize
Embed financial estimates into your decision context. ICAAP/ORSA requirements? Portfolio stress tests? Deal due diligence? We adapt outputs to regulatory frameworks and internal processes.
Numbers without context are not decision-relevant. We deliver evidence in the format your internal processes and regulators expect.
Deliver
Complete evidence packages, tailored to your use case. Every number traceable to source and assumptions. No black box, no opaque score.
- Asset-specific risk profiles
- Portfolio aggregations
- Regulatory documentation
- Audit trail for every metric
From Exposure to Impact
Most physical risk analyses stop at exposure: 'This asset is in a flood zone.' But exposure alone says nothing about the financial consequence. Damage functions close this gap. They model how hazard intensity (e.g., flood depth in cm) leads to physical damage (e.g., % of building value), and how physical damage becomes financial impact (e.g., repair costs, business interruption, insurance premium development). We work with published and internally developed damage functions, adapt them to local contexts, and document assumptions transparently – so you can defend the results.
Every number we deliver is traceable. No opaque score. No 'the model says so.' You can trace every data point back to its source, follow every assumption, replicate every calculation. This is not optional – this is our standard.
How You Can Work With Us
Focused Analysis
2–4 weeks of focused analysis for defined assets and hazards. Fixed scope, clear outputs, no open consulting counters. Ideal for deal due diligence, portfolio sampling, or initial risk assessment.
Typische Kunden: Asset managers during deal evaluation, family offices during portfolio review, banks during ICAAP preparation
Book a consultationResearch Partnership
Embedded collaboration for complex or recurring analysis requirements. We act as your extended research team for physical risk analysis – scalable, consistent, quality-assured.
Typische Kunden: Research firms with growing client demand, insurers during portfolio analysis, asset managers during systematic integration
Explore partnershipCo-Development
Joint development of analysis capabilities for your specific requirements. We build with you – not for you. Knowledge transfer and sustainable ownership included.
Typische Kunden: Institutions looking to build internal physical risk analysis capabilities
Discuss possibilitiesHow we handle your data
Your data stays under your control. We export only what's needed for the agreed analysis.
On request, we work completely on-premise – no byte leaves your network.
Strict confidentiality: NDA, GDPR-compliant, access only for the project team.
After project end: deletion or handover – you decide.
No sharing with third parties. No use for our own purposes.
Ready for robust evidence?
Start with a focused analysis of your priority assets – investment-grade evidence in 2–4 weeks.
Book a consultationFrequently asked questions about our method
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