Since AR5, another key development in environmental and social governance has been the establishment of the Task Force on Climate- related Financial Disclosures , which aimed to develop guidelines for companies to voluntarily report the financial implications of two broad categories of climate risk: the transition risks of shifting to a lower-carbon economy and the physical risks of climate change itself . As of 2019, ~1340 companies with a market capitalisation of USD 12.6 trillion and financial institutions responsible for assets of USD 150 trillion have expressed support for the TCFD . An analysis of reports to the TCFD in 2016 showed that 83% of companies report on physical risks of climate change, and of these, 82% reported on strategies to adapt to some of the identified risks . The same analysis also noted that:  the total of estimates of assets at risk were two orders of magnitude lower than generally accepted estimates of total financial risk;  a minority of companies consider risks outside of their own operations or in their value chains;  most underestimate or do not estimate the costs of adaptation; and  many assume linear impacts and responses, neglecting the potential for tipping points or acceleration in risk and potentially transformative adaptation requirements. At this stage, TCFD has influenced many companies' thinking and comprehension of physical climate risk, but it appears too early to assess whether this has driven substantive responses to manage these risks.
IPCC
Climate Change 2022: Impacts, Adaptation and Vulnerability
IPCC Report